TEL-AVIV, ISRAEL, Aug. 28, 2013 (GLOBE NEWSWIRE) -- Gazit-Globe (TASE:GZT) (NYSE:GZT), one of the world's leading multi-national real estate companies focused on acquisition, development and redevelopment of supermarket-anchored shopping centers in major urban markets, announced today that it has entered into an agreement to purchase 20,416,463 of Atrium (ATR) ordinary shares representing approximately 5.5% of its issued and outstanding shares from an entity forming part of the consortium managed by CPI CEE Management LLC ("CPI"), at a price of EUR 4.3 per share for a total consideration of approximately EUR 87.8 million in an off-market transaction.
Following the completion of the acquisition, Gazit-Globe will hold (through wholly-owned subsidiaries) 149,325,178 ATR ordinary shares comprising 39.9% of the issued and outstanding shares of ATR (prior to the acquisition, Gazit-Globe held 34.4% of ATR shares)
Following the completion of the acquisition, Gazit-Globe is expected to incur an accounting gain in its third quarter 2013 financial statements, estimated to be between NIS 155 million to NIS 175 million, calculated in accordance with ATR's financial statements as of June 30, 2013 and the exchange rate of that date. The expected accounting gain is subject to adjustments and will be determined by means of an external calculation of the Purchase Price Allocation.
Upon completion of the acquisition, CPI will hold 52,069,621 ordinary shares of ATR, comprising 13.9% of the issued and outstanding shares of ATR. Gazit-Globe and CPI will continue to jointly control ATR with 53.8% of its voting rights.
Roni Soffer, President of Gazit-Globe: "We are pleased to be increasing our strategic stake in Atrium in light of its excellent management and business prospects. Atrium, which is active in Central and Eastern Europe with a primary focus on Poland, has become over the last few years one of the strongest and most stable real estate companies in the region ."
FORWARD LOOKING STATEMENTS
This release may contain forward-looking statements within the meaning of the U.S. federal securities laws. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve a number of known and unknown risks and uncertainties, many of which are outside our control, that could cause our future results, performance or achievements to differ significantly from the results, performance or achievements expressed or implied by such forward-looking statements. Important factors that could cause or contribute to such differences include risks detailed in our public filings with the SEC. Except as required by law, we undertake no obligation to update any forward-looking or other statements herein, whether as a result of new information, future events or otherwise.
About Gazit-Globe
Gazit-Globe is one of the largest owners and operators of supermarket-anchored shopping centers in major urban markets around the world. In addition, the Company is active in North America in the healthcare real estate sector. Gazit-Globe is listed on the New York Stock Exchange (NYSE:GZT) and the Tel Aviv Stock Exchange (TASE:GZT) and is included in the TA-25 and Real-Estate 15 indices in Israel. Gazit Globe owns and operates 592 properties in more than 20 countries, with a gross leasable area of approximately 6.7 million square meters and a total value of more than $20 billion.