Eurocastle's Strategic Shift: Unveiling Full Reserve Release

Author: Caleb Price Updated: 10-07-2025 03:15 AM

Eurocastle Announces Major Financial Update

EUROCASTLE INVESTMENT LIMITED

Contact:
Oak Fund Services (Guernsey) Limited
Company Administrator
Attn: Nicole Barnes
Tel: +44 1481 723450

Eurocastle Announces Release of All Remaining Reserves

Eurocastle Investment Limited (Euronext Amsterdam: ECT) has officially entered into a contractual agreement regarding the Legacy German tax issue. This move incurs an estimated cost of €0.85 million, leading the Directors to release the entire €6.0 million previously held in reserves related to this matter. Consequently, this signifies that the Company will no longer maintain any additional reserves and will implement a single IFRS-based Net Asset Value (NAV) moving forward.

Current Financial Standing and NAV Insights

As of mid-2025, Eurocastle's pro forma NAV has been adjusted to €20.4 million, equivalent to approximately €20.34 per share. These changes reflect the costs associated with the recent Arrangement and the consequential reserve release. This adjustment is crucial as it lays the foundation for potential future investments.

Net Asset Composition as of June 2025

The recent updates in Eurocastle's financial structure reveal insights into its net assets. Here’s an overview of the components that contribute to the adjusted NAV:

New Investment Strategy - EPIF: Reflecting a NAV of €1.84 per share, demonstrating the Company’s focus on transitioning its investment strategy.
Legacy Italian Real Estate Funds: Holding a NAV of €0.06 per share, indicating an area with room for growth.
Net Corporate Cash: Stands at €15.27 million, highlighting significant liquidity despite the adjustment.
Legacy German Tax Asset: Valued at €4.05 million, showcasing historical assets that impact current NAV.

The adjustment of reserves notably allows for a clearer view of Eurocastle's financial maneuverability regarding its assets and potential future ventures.

About Eurocastle's Future Direction

Eurocastle aims to innovate its investment approach, focusing particularly on opportunistic real estate investments across Greece with plans to extend its reach to Southern Europe. The strategic shift aligns with ongoing market evaluation, ensuring the Company remains agile in a changing financial landscape. This fresh direction is pivotal as Eurocastle seeks to capitalize on lucrative investment opportunities within the region.

For additional information on Eurocastle and to receive updates via email, visit www.eurocastleinv.com.

Frequently Asked Questions

What is the significance of Eurocastle releasing its reserves?

The release of reserves signifies a shift towards implementing a streamlined financial reporting process, reflecting the Company’s agility in navigating past financial obligations.

How has Eurocastle's NAV changed recently?

After accounting for the recent tax arrangement, the NAV was adjusted to €20.4 million or €20.34 per share, indicating the Company's ongoing financial evaluation and strategy.

What does Eurocastle plan to do with its new strategy?

The new strategy focuses on investing opportunely in real estate in Greece initially, with plans for expansion into other areas of Southern Europe.

How much cash does Eurocastle currently have available?

Eurocastle reports a significant liquidity position with net corporate cash amounting to €15.27 million, which positions the Company well for future investments.

Where can one find more information on Eurocastle's activities?

For further details on Eurocastle's investment strategies and financial updates, visit their website at www.eurocastleinv.com.

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