16th March 2007
BIG YELLOW CONFIRMATION OF REIT STATUS
On the 17th of January 2007 Big Yellow Group PLC announced, as part of its quarterly statement that it had elected to convert to a REIT. Pending clarification of the status of its income HM Revenue and Customs (HMRC) had objected to that notice.
HMRC have now withdrawn their objection and have today confirmed Big Yellow's eligibility as a REIT, effective from 15 January 2007.
The Group will now carry out a valuation of its qualifying property assets as at 15 January to establish the amount of the 2% conversion charge. The result of the valuation and amount of conversion charge will be announced to shareholders when the valuation has been finalised.
The Company intends shortly to convene an EGM to seek shareholder approval forcertain amendments to the Company's Articles of Association in connection with its conversion to REIT status. The EGM circular will contain full details of the proposed amendments and the reasons for them.
James Gibson, Chief Executive, commented, "We are delighted that we have received confirmation of our conversion to REIT status backdated to 15 January 2007. We believe that becoming a REIT will be of significant benefit to shareholders creating an enhanced level of future dividends in a more tax efficient and transparent structure. In addition we believe that the self storage industry as a whole will benefit from the creation of a growing specialist REIT sector, with improved access to capital, driving further development of this relatively young market."
For further information, please contact:
Big Yellow Group PLC 01276 477811
Nicholas Vetch, Chairman
James Gibson, Chief Executive
Weber Shandwick Financial 020 7067 0700
Louise Robson or John Moriarty
This information is provided by RNS
The company news service from the London Stock Exchange