REG-Warner Estate Hldgs. Ashtenne Industrial Fund

Released: 05/10/2009

com:20091005:RnsE2663A
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RNS Number : 2663A  
  
Warner Estate Holdings PLC  
  
05 October 2009  
  
Warner Estate Holdings PLC  
  
("Warner Estate")  
  
ASHTENNE INDUSTRIAL FUND ANNOUNCES £364 MILLION REFINANCING AND RAISES £45 
MILLION OF NEW EQUITY  
  
Aviva Investors and Warner Estate, on behalf of the Ashtenne Industrial Fund 
("AIF"), have successfully raised £45 million of new equity in order to reduce 
its senior debt, and refinance its existing facility for a further four years 
with Royal Bank of Scotland and the Lloyds Banking Group.  
  
The new equity, issued in the form of convertible loan stock which will convert 
to units in the Fund in September 2012 (or earlier at the option of the note 
holder), was raised entirely from within the Fund's existing investor base and 
was significantly oversubscribed, demonstrating investor confidence in the 
future performance of the Fund.  
  
The revised debt facility provides stability to the Fund and a strong platform 
on which to continue the proactive asset management of the £627m portfolio 
comprising 330 industrial properties, let to 3,112 tenants, with an annual rent 
roll of £56 million. It will also reduce the need for further asset sales until 
values improve.   
  
The Fund, which is managed by Aviva Investors and asset managed by Warner 
Estate, is now closer to concluding its disposal programme, having completed 
some £52.3million of sales in 29 separate transactions during 2009, at a modest 
discount of just 3.7% to their collective value in December 2008.  
  
Sissn Humphrey, Fund Manager at Aviva Investors commented: "We are delighted to 
have successfully concluded the equity raise and re-financing which provides a 
stable and defined future for the Fund and also reaffirms the continuing support 
from our investors."  
  
John Heawood, Managing Director of Ashtenne Asset Management, the division of 
Warner Estate responsible for the asset management of AIF, commented: "The 
combination of the refinancing and the equity raised have given the Ashtenne 
Industrial Fund a solid base upon which to build, paving the way for a recovery 
in value through the next few years. Our unique structure of regional management 
teams has been hugely effective at retaining income, minimising void and 
continuing to make sales during the downturn. Today's announcement represents a 
very significant return on their efforts."  
  
5th October 2009  
  
-ends-  
  
Enquiries:  
  
 
  Warner Estate Holdings PLC         
  Philip Warner, Chairman            
  Mark Keogh, Finance Director       
  Robert Game, Property Director     
  Tel: 020-7907-5100                 
  Web:  www.warnerestate.co.uk       
  
  
 
This information is provided by RNS  
  
The company news service from the London Stock Exchange  
  
  END  
  
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