February 22 (SeeNews) - Israeli company BIG Shopping Centers said it has signed an agreement to acquire Delta City Mall Podgorica in Montenegro for 95 million euro ($108 million).
BIG Shopping Centers will acquire the company via CEE-BIG BV, a company in which it holds a 95% stake, and will use a bank loan to finance 57 million euro of the purchase price, it said in a statement on Sunday.
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"BIG's entry into Montenegro is another step forward in implementing the company's strategy to expand its business in the Balkans and Eastern Europe. BIG continues to locate strategic projects in order to increase its commercial power, thanks to which, together with the success achieved in Serbia, it is one of the leading real estate companies in the Balkan region," CEO Hay Galis said.
In December, UK-based Hystead Limited, majority owned by South African real estate investment trust (REIT) Hyprop Investments, said it expects to complete the sale of Delta City Mall Podgorica in Montenegro in the first quarter of 2022. Hystead received a non-binding offer to sell its entire shareholding in the entity that owns Delta City Mall Podgorica, based on a gross property value of 95 million euro, it said back then.
Hystead acquired both Delta City Mall Belgrade and Delta City Mall Podgorica from Serbia's Delta Holding for 127.8 million euro in February 2016.
($ = 0.880395 euro)