Graphisoft Park shareholders approve share buyback

MNB

Shareholders of Graphisoft Park, a listed company that owns and operates a business park in the north of Budapest, approved a EUR 33 million structured share repurchase at an extraordinary general meeting on Monday, state news wire MTI reports.

The threshold consideration for the buyback was set at HUF 6,280 per share in the EGM resolution published on the website of the Budapest Stock Exchange.

The threshold consideration is the fair net asset value per share as published in Graphisoft Parkʼs third-quarter earnings report (EUR 19), converted at the National Bank of Hungaryʼs official exchange rate on December 31, 2019.

Graphisoft Park shares traded at HUF 5,080 at 12:53 on Monday.

Last November, Graphisoft Park said it signed a 10-year, EUR 40 mln loan contract with UniCredit Bank Hungary and would propose returning EUR 30 mln-35 mln of the new loan to shareholders in the form of dividend or share buybacks in 2020.

The loan, taken out "to optimize the companyʼs capital structure", will bring total bank debt of the group to around EUR 114 mln, or 43% of its real property assets, Graphisoft Park said at the time.

Graphisoft Park recently converted into the local form of a real estate investment trust (REIT) and is required to pay shareholders 90% of profit as dividends.

ADVERTISEMENT

Czech economic confidence weakens in September Analysis

Czech economic confidence weakens in September

Parl't extends pandemic legal provisions Parliament

Parl't extends pandemic legal provisions

Energy Efficiency: End-users, Energy Traders and Other Stake... Inside View

Energy Efficiency: End-users, Energy Traders and Other Stake...

Budapest bike-sharing scheme boasts record ridership City

Budapest bike-sharing scheme boasts record ridership

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.