5 JUNE 2014
INTU PROPERTIES PLC
FORMATION OF JOINT VENTURE AT INTU UXBRIDGE, INTRODUCING KWAP AS 80 PER CENT
PARTNER WITH INTU RETAINING 20 PER CENT
Intu has today entered into a joint venture agreement in respect of intu
Uxbridge.
Kumpulan Wang Persaraan (Diperbadankan) ("KWAP"), the £19 billion (Malaysian
Ringgit 106 billion) Malaysian pension fund, has acquired an 80 per cent
interest in intu Uxbridge for £175 million, representing a two per cent premium
to its 31 December 2013 valuation of £213.9 million (100% basis).
Intu retains a 20 per cent interest and will continue to manage the centre on
behalf of the joint venture.
The transaction is in line with Intu's stated strategy of recycling capital
into its £1.2 billion development pipeline and demonstrates our capability to
grow the scale of our business under the nationwide intu shopping centre brand.
Intu will repay existing bank debt and terminate associated swaps amounting to
around £155 million in aggregate. Net rental income for intu Uxbridge for the
year ended 31 December 2013 was £11.7 million.
David Fischel, Chief Executive, commented:
"We are delighted to have entered into this partnership, establishing a
relationship with a significant overseas investor and demonstrating the
investment demand for prime UK shopping centres under the management of a
specialist operator such as Intu. The transaction is a useful step in recycling
capital into our substantial development pipeline. We look forward to working
with our new partner, KWAP."
ENQUIRIES
Intu Properties plc
David Fischel Chief Executive +44 (0)20 7960 1207
Matthew Roberts Finance Director +44 (0)20 7960 1353
Kate Bowyer Business Relations Director +44 (0)20 7960 1250
Public relations
UK: Michael Sandler/Wendy Baker, Hudson +44 (0)20 7796 4133
Sandler
SA: Frédéric Cornet, Instinctif +27 (0)11 447 3030
NOTES FOR EDITORS
1. Intu Properties plc ("Intu")
Intu owns and operates some of the very best shopping centres, in some of the
strongest locations right across the country, including twelve of the UK's top
25. You can find the UK's top retailers in our shopping centres, alongside
some of the world's most iconic global brands.
With over 21 million sq ft of retail space, our centres attract over 400
million customer visits a year and more than two thirds of the UK population
live within a 45 minute drive time of one of our centres.
At the forefront of UK shopping centre evolution since the 1970s, our focus is
on creating compelling destinations for customers with added theatre.
Our nationwide consumer facing shopping centre brand - intu - is transforming
our customer experience and digital proposition, including a transactional
website with a view to providing the UK's leading shopping centre experience
both on and off-line at 15 centres
We have an investment plan of £1.2 billion over the next ten years with
projects at most of our centres.
Over 80,000 people are employed within our centres across the UK and we are
fully committed to supporting our local communities and the wider environment
through meaningful and hands-on initiatives.
For further information see www.intugroup.co.uk
2. Kumpulan Wang Persaraan (Diperbadankan) ("KWAP")
KWAP or the Retirement Fund (Incorporated) was established on 1st March 2007
under the Retirement Fund Act 2007 (Act 662) replacing the repealed Pensions
Trust Fund Act 1991 (Act 454).
The objective of KWAP is to manage the fund (the "Fund") established under
Section 13 of Act 662 towards achieving optimum returns on its investments. The
Fund shall be applied towards assisting the Federal Government in financing its
pension liability.
For more information about KWAP, visit their website : www.kwap.gov.my
3. intu Uxbridge
intu Uxbridge is a 440,000 sf ft shopping centre valued at £213.9 million at 31
December 2013. Opened in 2001, anchored by Debenhams, Next, H&M, Top Shop, and
an IMAX cinema, the centre attracts around 12 million customer vists each year.
Uxbridge is one of London's major metropolitan centres, situated 15 miles from
Charing Cross near the M25 London orbital motorway and close to Heathrow
airport. It is a significant retail, leisure and commercial centre with 40,000
office workers including the European headquarters of a number of global blue
chip companies (including Apple, Coca Cola, Cadbury and Xerox), while the
nearby Brunel University campus is home to nearly 15,000 students.
