Press Release
Eco-Bos Development Limited ("Eco-Bos"), a subsidiary of Orascom Development Holding AG ("ODH"): secures £18 million to kick-start its visionary 1,500 home project in Cornwall, UK, with unit sales starting in June 2020.
Altdorf, 20 May 2020 - Orascom Development Holding (AG) is pleased to announce that Shawbrook Bank, a specialist SME lender in the United Kingdom is financing the construction of its first phase of more than 1,500 energy efficient homes in the sustainable West Carclaze Garden Village community project near St Austell, Cornwall, UK.
Shawbrook has provided a peak debt funding facility of £18 million for the first stage of the Garden Village project, involving the construction of 296 homes. In total, the overall project could see Shawbrook finance the construction of 1,500 eco-friendly properties. Residential sales for the project will commence in June 2020 and commercial sales will take place in February 2021. This phase is planned to be delivered during Q3 2024 with expected total sales of ca. £82 million (ca. CHF 99 million*). The project, as previously announced, will be cash flow positive in 2020 and profitable in 2022. Estimated cumulative losses before turning into profits, are within the range of ca. £2.0mn - £3.0mn (ca. CHF 2.4 million - CHF 3.6 million) * until 2022.
Additionally, Eco-Bos has signed a construction contract with Moor Manage Ltd. as the main contractor of this project. Morcom Construction Ltd., the groundworks contractor, started on-site in February with "official" groundbreaking in March 2020. Phase 1 is anticipated to be completed in Q3 2024 and will comprise 296 homes adjoining two lakes, a 210-place primary school, community facilities and 4 miles of trails. This first phase uses 196,604 m2 out of the total land bank under option of over 6.5 million m2.
*GBP/CHF rate used as of 12/5/2020.
About Eco-Bos Development Limited
Formed in 2010, Eco-Bos is a joint venture between Orascom Development Holding (75%) and Imerys (25%), a minerals based specialist with a long history in Cornwall and the West Country, to develop a series of residential and tourism mixed-use projects in Cornwall on former industrial sites owned by Imerys. Since 2010, Eco-Bos has had 20-year options on a total of 6.61 million m2 of land divided between six sites in Cornwall, UK. This exciting partnership is dedicated to conscientiously creating unique new lifestyle opportunities for communities with green infrastructure, homes, jobs and inspiring workplaces.
About Imerys
Imerys is the world's leading supplier of mineral-based specialty solutions for industry with €4.4 billion in revenue and 16,300 employees in 2019. Imerys delivers high value-added, functional solutions to a great number of sectors, from processing industries to consumer goods. The Group draws on its understanding of applications, technological knowledge and expertise in material science to deliver solutions by beneficiating its mineral resources, synthetic minerals and formulations. Imerys' solutions contribute essential properties to customers' products and their performance, including heat resistance, hardness, conductivity, opacity, durability, purity, lightness, filtration, absorption and water repellency. Imerys is determined to develop responsibly, in particular by fostering the emergence of environmentally friendly products and processes.
About Orascom Development Holding (ODH):
Orascom Development Holding (ODH) is a leading developer of fully integrated destinations that include hotels, private villas and apartments, leisure facilities such as golf courses, marinas and supporting infrastructure. Orascom Development's diversified portfolio of destinations is spread over seven jurisdictions (Egypt, UAE, Oman, Switzerland, Morocco, Montenegro and United Kingdom), with primary focus on touristic destinations. The Group currently operates nine destinations: four in Egypt (El Gouna, Taba Heights, Fayoum and Makadi Heights), The Cove in the United Arab Emirates, Jebel Sifah and Hawana Salalah in Oman, Luštica Bay in Montenegro and Andermatt in Switzerland. The shares of Orascom Development Holding (ODH) are listed on the SIX Swiss Exchange.
Contact for Investors:
Sara El Gawahergy
Head of Investor Relations & Strategic Projects Management
Tel: +202 246 18961
Tel: +41 418 74 17 11
Mob: +41 79 156 78 49
Email:ir@orascomdh.com
Contact for Media Relations:
Philippe Blangey
Partner
Dynamics Group AG
Tel: +41 432 68 32 35
Email: prb@dynamicsgroup.ch
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