Launch of Tender Offers for Bonds & Trading Updat

Highlights

Globalworth (AIM: GWI), a leading real estate investor in Central and Eastern Europe, proposes to purchase an aggregate Maximum Acceptance Amount (as defined in the tender offer memorandum dated 11 July 2024) of up to €60,000,000 (or such greater or lesser amount as it may determine in its sole and absolute discretion) of its €307,109,200 6.25% Notes due 2029 and €333,350,400 6.25% Notes due 2030 pursuant to an unmodified Dutch auction procedure. In addition, subject to outstanding conditions precedent, Globalworth expects to dispose of its interest in logistics assets owned via joint ventures for a consideration of €56.0 million.

Tender Offers for Notes

The Company announces a tender offer addressed to the holders of its €307,109,200 6.25% Notes due 2029 and €333,350,400 6.25% Notes due 2030 (the "Tender Offers").

Under the Tender Offers, the holders of the 6.25% notes due 31 March 2029 (ISIN: XS2809858561) (the "2029 Notes") and the holders of the 6.25% notes due 31 March 2030 (ISIN: XS2809868446) (the "2030 Notes" and, together with the 2029 Notes, the "Notes"; each of the 2029 Notes and the 2030 Notes a "Series") are invited to tender their Notes for purchase by the Company for cash. In respect of any Notes of a Series validly tendered by a holder and which will be purchased by the Company pursuant to the relevant offer, the Company will pay a cash purchase price equal to the particular purchase price specified (or deemed to be specified) by the relevant holder in the relevant tender instruction, subject to a minimum purchase price of 96.25% of the principal amount for the 2029 Notes and 94.00% of the principal amount for the 2030 Notes. The Company proposes to accept up to €60,000,000 of Notes (the "Maximum Acceptance Amount"). The Company reserves the right, in its sole and absolute discretion, to (i) increase the Maximum Acceptance Amount or (ii) purchase Notes in an aggregate amount which is less than the Maximum Acceptance Amount.

The Tender Offers are being made on the terms, and subject to the conditions, contained in the tender offer memorandum dated 11 July 2024 prepared by the Company in connection with the Tender Offers, which will be made available to holders of the Notes, subject to the offer and distribution restrictions. The Tender Offers will expire at 5:00pm Central European Summer time on 17 July 2024. Holders of Notes should refer to the tender offer memorandum for full details of the Tender Offers.

Rationale for the Tender Offers

The purpose of the Tender Offers is, amongst other things, to manage the Company's leverage, aim to maintain an optimal capital structure, and to reduce interest costs using available liquidity. Furthermore, the Tender Offers will provide a degree of liquidity to those holders whose Notes are accepted in the Tender Offers.

Merrill Lynch International and Raiffeisen Bank International AG have been appointed by the Company to act as Dealer Managers and Kroll Issuer Services Limited as the Tender Agent in connection with the Tender Offers.

Trading Update

In line with the Company's focus on deleveraging and enhancing liquidity, Globalworth expects to dispose of its 50% interests in logistics assets in Romania owned via a joint venture (the "JV Portfolio") for a total net consideration to the Company of €56.0 million. The JV Portfolio is not consolidated in the Company's financial statements. The agreement related to the disposal of the JV Portfolio is subject to customary conditions precedent as well as the receipt of certain third party consents, which are outside of the Company's control. The disposal is expected to complete by no later than 18 July 2024, however there can be no assurances that the Company will be able to obtain such consents and complete the disposal.

Globalworth is a listed real estate company active in Central and Eastern Europe, quoted on the AIM-segment of the London Stock Exchange. It has become the pre-eminent office investor in the CEE real estate market through its market-leading positions both in Poland and Romania. Globalworth acquires, develops and directly manages high-quality office and industrial real estate assets in prime locations, generating rental income from high quality tenants from around the globe. Managed by over 269 professionals across Cyprus, Guernsey, Poland and Romania the combined value of its portfolio is €3.0 billion, as at 31 December 2023. Approximately 96.8% of the portfolio is in income-producing assets, predominately in the office sector, and leased to a diversified array of over 715 national and multinational corporates. In Poland Globalworth is present in Warsaw, Wroclaw, Lodz, Krakow, Gdansk and Katowice, while in Romania it has assets in Bucharest and seven other cities.