Mountview Estates PLC
11 October 2001
11 October 2001
MOUNTVIEW ESTATES P.L.C. ('MOUNTVIEW' OR 'THE COMPANY')
Proposed Share Buy-Back
Mountview today announces that BPT plc ('BPT'), a major shareholder of the
Company, has irrevocably offered to sell to the Company for cancellation
688,061 ordinary shares of Mountview (14.99% of the Company's issued share
capital). The proposed share buy-back ('the Buy-Back') will be made under the
terms of the Buy-Back agreement that will be entered into immediately after
the Buy-Back is approved by Mountview shareholders. BPT together with its
subsidiaries presently hold 990,071 shares in the Company, 21.58% of the
existing ordinary share capital. Following implementation of the Buy-Back,
BPT's shareholding will therefore fall to 302,010 shares (6.58% of the issued
share capital).
Mountview is proposing to acquire the Buy-Back shares at a price of £24 per
share. This will result in a total payment by the Company of approximately £
17.1 million, including expenses and a stamp duty charge. Mountview will
finance the payment out of new borrowing facilities totalling £21 million from
Barclays Bank PLC.
Mountview has received irrevocable undertakings from its directors and other
Mountview shareholders to vote in favour of the resolution to approve the
Buy-Back in respect of 2,173,167 Mountview shares, representing 47% of the
issued share capital of Mountview. As a related party, BPT has undertaken to
abstain, and to take all reasonable steps to ensure that its associates
abstain, from voting on the resolution.
A circular giving information on the Buy-Back and details of an extraordinary
general meeting of the Company to approve the Buy-Back will be dispatched to
shareholders as soon as possible. It is expected that the Buy-Back will be
completed by no later than mid-November 2001.
Enquiries:
Frank Malcolm
Brewin Dolphin Securities Ltd (brokers to Mountview)
0131 529 0311