Centro Properties Group Announces Definitive Agreement to Acquire Kramont Realty Trust.NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of -- Australian based Centro Properties Group ("Centro") announced yesterday that it has entered into a definitive agreement to acquire Kramont Realty realty n. a short form of "real estate." (See: real estate) REALTY. An abstract of real, as distinguished from personalty. Realty relates to lands and tenements, rents or other hereditaments. Vide Real Property. Trust, a US-listed real estate investment trust ("Kramont") for a total cost of approximately $1.25 billion in cash and assumed indebtedness. Kramont specializes in the ownership and management of 93 neighborhood and community shopping centers shopping center, a concentration of retail, service, and entertainment enterprises designed to serve the surrounding region. The modern shopping center differs from its antecedents—bazaars and marketplaces—in that the shops are usually amalgamated into across 16 East Coast states. Centro is undertaking this opportunity in conjunction with its joint venture partner in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , Watt Commercial Properties ("Watt"), which is headquartered in Santa Monica Santa Monica (săn`tə mŏn`ĭkə), city (1990 pop. 86,905), Los Angeles co., S Calif., on Santa Monica Bay; inc. 1886. Tourism and retailing are important, and the city has motion-picture, biotechnology, and software industries. , CA. J. P. Morgan Securities acted as exclusive financial advisor to Centro Properties Group for this transaction. Mr. Brian Healey, Chairman of Centro said, "The Kramont acquisition is particularly significant as it enables Centro to build on the solid US platform it has established with its existing joint venture with Watt, by providing an additional comprehensive retail property management team on the East Coast. This acquisition of a large US-listed REIT REIT See: Real Estate Investment Trust REIT See real estate investment trust (REIT). , illustrates the ability of the Centro/Watt team to identify and provide Centro with additional retail property assets in the U.S., thus strengthening Centro's offshore management capabilities." Mr. James Maginn, CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Watt Commercial Properties stated, "We are extremely pleased to have identified this opportunity to grow the excellent platform we have built with our Australian partner, Centro Properties Group. We are excited to be adding the competent group of professionals at Kramont to our team and we look forward to the continued positive growth this new acquisition will provide." Mr. Healey added, "The high demand for retail property in Australia is making it more difficult for us to acquire large numbers of domestic properties. Therefore, a quality U.S. retail property portfolio, with an experienced management team which shares similar goals to Centro in the focus they show in maximizing shareholder value through the active investment and management of shopping centers, provides Centro with a unique growth opportunity." Kramont common shareholders will receive $23.50 per share in cash at closing, plus the declared December quarterly dividend of $0.325 in January 2005. The acquisition price represents a premium of approximately 17.0% over Kramont's closing common share price of $20.08 on Friday, December 17th, 2004, and a premium of 17.1% over Kramont's trailing one-month volume-weighted average share price of $20.07. The Kramont management team has an average of over 20 years of real estate experience and the Centro/Watt joint venture look forward to working with the strong staff base with 12 senior officers and an additional 135 employees. The team will complement and bolster the existing Centro/Watt management team, providing a full range of property and corporate services Activities that combine or consolidate certain enterprise-wide needed support services, provided based on specialized knowledge, best practices, and technology to serve internal (and sometimes external) customers and business partners. , including leasing, development, asset management, property management, marketing, legal, financing and accounting departments. Mr. Andrew Scott Andrew Scott may refer to: In entertainment:
tr.v. an·a·lyzed, an·a·lyz·ing, an·a·lyz·es 1. To examine methodically by separating into parts and studying their interrelations. 2. Chemistry To make a chemical analysis of. 3. the properties, visited most of them and met key staff, we expect that Centro/Watt will benefit from the combined skills and expertise of the Kramont team. We see the teams as a good cultural "fit", and this is of great importance to Centro in identifying opportunities which can be successfully integrated into the US business platform. We are very pleased that the Kramont team will be joining the Centro/Watt team." The transaction was unanimously approved by Kramont's Board of Trustees board of trustees Politics The posse of thugs who oversee an institution's administration. See Board of directors. on December 18, 2004. Completion of the transaction, which is expected to occur in the first quarter of 2005, is subject to approval by Kramont's shareholders and the satisfaction of customary closing conditions. About Centro Centro Properties Group is an Australian based retail property investment and services organization (covering property, development and funds management services) that is customer focused, value adding and team based. Through its continuous program of strong and strategic growth Centro has become one of Australia's leading retail property owners and managers with a managed retail property portfolio valued in excess of $5.2 billion and a market capitalization Market Capitalization A measure of a public company's size. Market capitalization is the total dollar value of all outstanding shares. It's calculated by multiplying the number of shares times the current market price. This term is often referred to as market cap. of $3.0 billion. Centro holds ownership interests in 114 shopping centers across main population areas in all states of Australia with over gross leasable area Gross leasable area (GLA) in the retail development industry is a term applied to shopping malls, lifestyle centers, outlet malls and other retail centers to indicate the amount of floor space available to be rented. of 20 million square feet. In addition, Centro currently owns and manages, in conjunction with its joint venture partner Watt Commercial Properties, 17 retail properties in the US with a total leasable area of 3.9 million square feet. For more information, please visit www.centro.com.au. About Watt Based in Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. , Watt Commercial Properties is a premier provider of a comprehensive suite of real estate services with an established reputation in Development, Advisory Services advisory services advisory services provided to the public, in their capacity as owners and managers of animals, are an important part of veterinary science. They may be provided by government bureaux, by commercial companies who deal in pharmaceuticals or animals or animal , Asset Management, Property Management and Leasing. Watt Commercial Properties currently owns and manages over 7 million square feet of retail properties (including the assets owned in joint venture with Centro), as well as over 3 million square feet of multifamily, office and industrial assets. In addition, Watt has developed over 8 million square feet of retail and other commercial properties. The Watt group of companies has built a strong reputation of performance and demonstrated the ability to create value through management and leasing as well as through renovation repositioning repositioning Laparoscopic surgery The changing of a Pt's position during a procedure to improve access or visualization of the operative field, which may be linked to complications, as it changes anatomic planes of operation. Cf Laparoscopic surgery. , and re-tenanting. The company has a nationwide presence and operating history with over 45 years of experience working with institutional partners and investors, exceptional systems and reporting capabilities, and a seasoned management team. For more information, please visit www.wattcommercial.com. About Kramont Based in Philadelphia, Kramont is a self-administered, self-managed, fully integrated equity real estate investment trust specializing in neighborhood and community shopping center acquisitions, leasing, development and management. The company owns, operates, manages and has under development 93 properties encompassing nearly 12.6 million square feet of leasable space in 16 states. Approximately 80% percent of Kramont's shopping centers are grocery, drug, or value/discount retail anchored. For more information, please visit www.kramont.com. |
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