HELSINKI, June 13, 2019 /PRNewswire/ -- Citycon has signed an agreement to sell two shopping centres in Finland for approximately EUR 77 million to a Nordic real estate investor NREP. According to the agreement, Citycon will divest shopping centre Arabia in Helsinki and shopping centre Duo in Tampere. The sales price is in line with the asset's latest IFRS fair value. The transaction is estimated to close during Q2/2019.
"This divestment reflects Citycon's strategy to focus on larger, urban and grocery-anchored shopping centres in the Nordics. We will use the proceeds from the divestment to strengthen our balance sheet and to finance the ongoing re-development projects. The divestment of Duo and Arabia is also a testimony that there is real estate investor demand for Nordic retail assets, which have a good tenant mix", says F. Scott Ball, Citycon's CEO.
Espoo, 13 June 2019
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Executive Vice President and CFO
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Citycon is a leading owner, manager and developer of urban, grocery-anchored shopping centres in the Nordic region, managing assets that total approximately EUR 4.5 billion. Citycon is No. 1 shopping centre owner in Finland and among the market leaders in Norway, Sweden and Estonia. Citycon has also established a foothold in Denmark.
Citycon has investment-grade credit ratings from Moody's (Baa3) and Standard & Poor's (BBB-). Citycon Oyj's share is listed in Nasdaq Helsinki.
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SOURCE Citycon Oyj