LONDON - abrdn Property Income Trust Limited, a Guernsey-incorporated investment company, has declared an initial distribution to its shareholders amounting to 55 pence per share. This payout, announced today, follows the recent disposal of the company's entire investment property portfolio, excluding its interest in the land at Far Ralia.
On November 29, 2024, abrdn Property Income Trust completed the sale of its wholly-owned subsidiary, abrdn Property Holdings Limited, to an entity backed by funds and accounts managed by GoldenTree Asset Management LP. The transaction, valued at approximately £351 million, is part of the trust's Managed Wind-Down process, which was approved by shareholders on May 28, 2024.
The initial distribution consists of a capital return of 52 pence per share, totaling about £198.23 million, and an interim Property Income Distribution (PID) of an additional 3 pence per share, aggregating £11.44 million. The capital return is to be executed via a Redeemable Bonus Share Scheme, where shareholders receive one bonus share for each share owned, immediately redeemable for cash. This scheme is expected to conclude by December 24, 2024. The interim PID will be recorded on December 20, 2024, with payments made by January 10, 2025.
Furthermore, as part of the wind-down, the Board is considering placing the company into voluntary winding up, pending the completion of post-closing adjustments related to the disposal and the sale of the Far Ralia land. To facilitate this without an additional general meeting, the company proposes amending its Articles of Incorporation to issue a new class of Winding Up Shares, granting the Board the authority to approve the voluntary winding up.
A circular detailing the Redeemable Bonus Share Scheme and the proposed changes to the company's Articles of Incorporation has been published and distributed to shareholders today. It calls for a general meeting on December 17, 2024, where shareholders will vote on the proposed resolutions. The Board has unanimously recommended approval of the resolutions.
This news is based on a press release statement from abrdn Property Income Trust Limited. The company's directors, who collectively own approximately 0.09% of the company's shares, have indicated their intention to vote in favor of the resolutions. The outcome of the general meeting and subsequent shareholder distributions will mark significant steps in the trust's managed wind-down strategy.
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