Achi news desk-
The group, formerly known as Intu SGS, has been managed by its creditors since Intu collapsed under the weight of its debts during the Covid pandemic. SGS split from Intu Properties with AlixPartners appointed to an executive management and board role, Global Mutual brought in as asset manager, and Savills as property manager.
The remaining £1.3 billion of SGS debt outstanding from today’s transactions has been exchanged for equity or equity equivalent. The agreement has received support from 100% of creditors.
As part of the agreement, a new SGS board will be appointed with Jaap Tonckens, former chief financial officer of the Unibail-Rodamco-Westfield group, joining as non-executive chairman.
“These leading retail and leisure assets have gone from strength to strength since the separation from Intu four years ago due to the excellent work of Alix Partners, the outgoing board members, Global Mutual and Savills,” said Mr Tonckens.
“The overwhelming support for the recapitalization reflects this very strong performance and investor confidence in major shopping centres. I look forward to being part of the next stage of the SGS journey and working with the new Board to build on what has been achieved so far.”
SGS said occupancy across its four shopping centers had increased to 93% in December 2023, with more than 300 new long-term leases signed since Global Mutual’s appointment. Rental income rose 22% to £80.5m in the six months to the end of December.
The refinancing follows a number of store upgrades in Braehead, including health and wellness brand Holland & Barrett, underwear retailer Ann Summers, and bakery chain Greggs.
Steve Gray, head of European retail asset management at Global Mutual, said the group was working closely with its tenants to ensure the offer remained “fresh and compelling” for guests.
“We are therefore delighted that these popular brands have decided to invest in their presence [at Braehead],” he said. “It reflects confidence in the centre, our relationships and in physical retail more broadly.
“We have seen solid growth in visitor numbers year on year, which reflects the positive response from our customers – underlining Braehead’s position as a first class retail and leisure destination.”
North Sea deals collapse amid tax fears entrepreneur warns
One of the North Sea’s most successful entrepreneurs has said that vital development activity in the area has come to a standstill amid political uncertainty as he complained that independent companies were facing an unexpected ‘victim’ tax burden.
Andrew Austin, who grew North Sea-focused RockRose into a £250m business, said companies across the region had put their plans on hold as they awaited the outcome of the power struggle in Westminster.
Scotland’s space race heats up as Orbex hints it will launch in Sutherland next year
Scotland’s space race is heating up with Orbex’s new chief executive strongly hinting that the company aims to achieve its first launch in 2025.
In an exclusive interview with The Herald, Phillip Chambers said that the construction of the company’s spaceport on the A’ Mhoine peninsula in Sutherland is expected to be completed by the end of this year. Assuming planning permission and associated licensing is granted, this will pave the way for the first launch of Surrey Satellite Technology Limited’s (SSTL) payload-carrying Orbex Prime rocket into space.
