Electra Investment Trust PLC ("Electra") is pleased to announce that it has exchanged contracts for the sale of Inchcape Shipping Services ("ISS") for US$285m to Istithmar, a major investment house based in the United Arab Emirates focusing on private equity, real estate and other alternative investments. ISS is the largest independently managed network of ship agents in the world.
As a consequence of the sale, Electra will receive cash proceeds inclusive of accrued income of US$178.38m upon completion which is expected at the end of January 2006.
The transaction will give rise to an increase in Electra's net asset value since 30 Sept 2005 of £64.76m representing an uplift in net asset value of 148.84p per share from the net asset value of 1172.22p, as at 30 Sept 2005 (exclusive of the proposed special dividend of 20p per share which was announced in December 2005).
Lazard acted as sole financial adviser to Electra.