Insider Business Dolphin try to disinvest from Aristo Developers

Dolphin try to disinvest from Aristo Developers

It seems rather difficult for Dolphin Capital Investors to sell their minority stake in Aristo Developers. As the investment firm says in its financial results, disinvestment from Aristo Developers requires the drafting and execution of an exit strategy for a minority package – at a tight timetable as well.

The 47.9% that it controls in the Cypriot development company is considered to be one of the most significant investments for Dolphin, as regards returns for shareholders. As a matter of fact, Dolphin received a dividend of 2 million euros from Aristo in the fourth quarter of 2018.

For 2018, Aristo sales reached €67.2 million, up by 2% from 2017 due to higher prices per square metre. Overall, the Cypriot company sold 115 homes and plots, according to Dolphin. In the previous year, Aristo continued recording very good sales to Chinese buyers, surpassing 50% of the total.

Specifically, 59% of the company’s sales were to buyers originating in China, 15% to residents of other Asian countries and 12% to residents of the Middle East and North Africa. The percentage of buyers from Russia rose to 6%. Sales to Cypriots and residents of other EU countries accounted for only 4% of the total.

At the same time, 2019 appears to be even better for the Cypriot company with sales of €17 million for the first two months, up by 58% year-on-year.

The vast majority of the company’s sales are based on the island’s naturalisation scheme and therefore a significant proportion of sales revenue remains in so-called escrow accounts until the granting of citizenship and completion of the construction of properties purchased at design stage.

Aristo had  21.5 million euros committed to such accounts by end of 2018, and it is estimated that 8 to 20 months will be needed for essential procedures to be completed.

“As applications come to maturity and properties are delivered, the company’s available cash is expected to show a significant increase,” it is noted in the results.

“Because of this, we are actively looking at ways to disinvest from Aristo, for capitalisation purposes but also to extract more value in the form of an additional dividend distribution from the company’s operating profits,” it also said.

 

Read more:

https://in-cyprus.com/10-applications-for-paphos-high-rises-more-expected/

 

 

 

 

Top Stories

One new Covid case with travel history

One person has tested positive for coronavirus, bringing the total number of cases to 1005, the Health Ministry said on Tuesday, from a total...

Compulsory use of gloves by employees on way out

    The compulsory use of gloves by employees that was introduced as part of measures to contain the spread of coronavirus is to be scrapped,...

22-year-old sentenced to 13 years in jail for Nicosia manslaughter

The Nicosia Criminal Court handed down on Tuesday a 13-year jail sentence to a 22-year-old foreign national who had pleaded guilty to killing a...

House, car repair shop, storeroom damaged by fire

  A fire which broke out off the Ayii Trimithias and Anthoupolis road on Tuesday afternoon has left a trail of damage in its wake,...

Ministry publishes updated list of labs for Covid-19 tests

  The Health Ministry has published an updated list of private labs which have verified procedures for RT-RCR diagnostic tests, which is the only accepted...

Taste

How to make triandafillo ice cream, by UK Cypriot chef Loulla Astin

  Just in time for the scorching heat, UK Cypriot chef Loulla Astin has shared her recipe for refreshing triantafillo ice cream -- or as...

Cyprus sprouts with cream and prosciutto

In a big, deep frying pan, fry the prosciutto in the olive oil, on medium heat for 2 minutes. Add the onion and garlic...

Pork burger with sundried tomatoes, mozzarella and anchovies

Mix all the ingredients together with the mince in a bowl, and combine well. Divide into 4 balls and form the burgers. Warm a griddle/pan...

Sheftalies

Wash the lamb cauls with plenty of cold water and let them settle in water and vinegar for a little while. Soak the bread crumbs...