Board Changes and COVID-19 statement

The information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this information is considered to be in the public domain.

16 March 2020

Globalworth Real Estate Investments Limited

("Globalworth" or the "Company")

Board Changes and COVID-19 statement

Globalworth, the leading office investor in Central and Eastern Europe, announces changes to the Company's Board of Directors and an update regarding the COVID-19 outbreak. 

Executive Director Changes

Ioannis Papalekas, the Founder, is stepping down from the Board of Directors of Globalworth with immediate effect but will remain as CEO of the Company. Dimitris Raptis, the current Chief Investment Officer and Deputy CEO, has been appointed co-CEO alongside Mr Papalekas whilst retaining his role as Chief Investment Officer. Mr Raptis will remain on the Board of Directors of Globalworth and will act as the main point of communication between the board and executive management.

This decision has been made after consultation with the Company's major shareholders and will allow Mr Papalekas to focus completely on his responsibilities in managing the Company's business and operations in the near term, especially in light of the outbreak of the COVID-19 global epidemic and crisis.

Following the above changes to the Board, the Board will comprise one executive director and nine non-executive directors (of which seven, including the chair, are considered to be independent in accordance with the UK Corporate Governance Code).

Proposed Non-executive Director

Subject to completion of customary due diligence, the Company intends to appoint Martin Bartyzal as a Non-executive Director of Globalworth as soon as practicable. This appointment is pursuant to the rights of CPI Property Group SA, through its ownership of Zakiono Enterprises Limited ("Zakiono"), to nominate and appoint one non-executive director for every 8% of the issued share capital of the Company held by Zakiono.  

COVID-19 Outbreak

Regarding the COVID-19 outbreak, the entire Globalworth team of more than 220 people in Cyprus, Guernsey, Romania and Poland is entirely focused on containing and mitigating its adverse effects.  The safety and wellbeing of our people, clients and communities are our top priorities while we try to safeguard the business, protect its assets and aim to limit the liabilities and negative consequences from this crisis that evolves day by day.  Further announcements will follow on the matter in due course.

Geoff Miller, Chair of the Board, commented: "These changes to the Board will, we believe, enhance its effectiveness and are in the best interests of the Company as a whole. At this critical and pivotal time, the Board members continue to work extremely closely with our executive team, both at the Board level and through the committees of the Board. I believe that the Company as a whole will be strengthened by the fact that Ioannis is now entirely focused on managing the Company's business and operations in the near term, whilst Dimitris will have the primary responsibility for board communications as well as co-managing business and operational matters".

For further information visit www.globalworth.com or contact: 

Enquiries 

About Globalworth / Note to Editors:

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 Romania and in Poland. Globalworth acquires, develops and directly manages high-quality office and logistics/light-industrial real estate assets in prime locations, generating rental income from high quality tenants from around the globe. Managed by c.240 professionals across Cyprus, Guernsey, Romania and Poland, the combined value of its portfolio is €3.04 billion, as at 31 December 2019. Approximately 93.4% 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 its assets span in Bucharest, Timisoara, Constanta and Pitesti. For more information, please visit www.globalworth.com and follow us on Facebook, Instagram and LinkedIn.

IMPORTANT NOTICE: This announcement has been prepared for the purposes of complying with the applicable laws and regulations of the United Kingdom and the information disclosed may not be the same as that which would have been disclosed if this announcement had been prepared in accordance with the laws and regulations of any jurisdiction outside of the United Kingdom. This announcement may include statements that are, or may be deemed to be, "forward-looking statements". These forward-looking statements may be identified by the use of forward-looking terminology, including the terms "targets", "believes", "estimates", "plans", "projects", "anticipates", "expects", "intends", "may", "will" or "should" or, in each case, their negative or other variations or comparable terminology, or by discussions of strategy, plans, objectives, goals, future events or intentions. These forward looking statements include all matters that are not historical facts and involve predictions. Forward-looking statements may and often do differ materially from actual results. Any forward-looking statements reflect the Company's current view with respect to future events and are subject to risks relating to future events and other risks, uncertainties and assumptions relating to the Company's business, results of operations, financial position, liquidity, prospects, growth or strategies and the industry in which it operates. Forward-looking statements speak only as of the date they are made and cannot be relied upon as a guide to future performance. Save as required by law or regulation, the Company disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements in this announcement that may occur due to any change in its expectations or to reflect events or circumstances after the date of this announcement.