|
abrdn European Logistics Income PLC on Wednesday reaffirmed its commitment to delivering a managed wind-down, despite objections from its largest shareholder DL Invest Group PM SA. The property investor’s shareholders voted ‘overwhelmingly’ to adopt the managed wind-down process in July 2024 after ‘extensive consultation’, and it said it remains committed to delivering this strategy. On Friday, however, Poland-based developer DL Invest released an open letter calling for the wind-down’s immediate suspension, and urging abrdn European’s board to halt further asset disposals and call a general meeting so investors can vote on the trust’s future strategy. DL said market circumstances had shifted significantly and that continuing to liquidate assets now risked ‘irreversible loss’ for shareholders, and that it intended to serve a formal requisition notice to convene a GM. However, on Wednesday, abrdn European said it has received feedback in recent days from investors representing approximately 25% of the share register, all confirming their ongoing support. DL Invest, the company said, is the only shareholder supportive of halting the managed wind-down as far as abrdn European is aware. The investor said the wind-down is ‘well progressed and nearing completion’ already, having sold 20 of the original 27 portfolio assets for aggregate gross sales proceeds of ¬400 million before repayment of associated debt. It added that of the seven remaining assets, it has exchanged contracts on three with another three in exclusivity, and it expects all remaining disposals to be finalised during the first quarter of 2026. ‘Convening a general meeting to consider a change in the company’s investment policy, as proposed by DL Invest Group, would incur costs for all shareholders and divert management attention at a point when the company is close to concluding the managed wind-down,’ abrdn European Logistics said. ‘The board firmly believes that completing the managed wind-down is in the best interests of shareholders as a whole.’ Shares in abrdn European Logistics were 5.8% higher at 25.40 pence each on Wednesday afternoon in London. Copyright 2024 Alliance News Ltd. All Rights Reserved.
|
