Acquisition

3 Jan 2007 08:11

Mirland Development Corporation PLC03 January 2007 NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN THE UNITED STATES OF AMERICA MIRLAND DEVELOPMENT CORPORATION plc ("MirLand"/ the "Company") MIRLAND CLOSES THE FIRST SHARE PURCHASE AGREEMENT FOR ACQUISITION OF MOSCOW SKYSCRAPER DEVELOPMENT PROJECT LONDON, 3 January 2007 - MirLand Development Corporation plc announces that, asanticipated and described in its AIM Admission Document, it has completed thefirst share purchase agreement to acquire the entire issued share capital of aCypriot company that holds a 58 per cent interest in a Russian company that hasthe leasehold rights in land to be used for the Company's skyscraper developmentproject in Moscow. The consideration under this agreement is a total of US$13m(US$1.6M of which has already been paid by the Company). The Company also announces that it has entered into an additional share purchaseagreement to acquire an effective further 21% interest in the Russian companyreferred to above for a consideration of US$4.5m. The Company intends to closethis additional agreement and also acquire the remaining 21% interest for afurther US$4.5m subject to the satisfaction of certain conditions. Moshe Morag, Chief Executive Officer of MirLand Development Corporation plc,said: "We are very pleased to start this year with the completion of this importanttransaction and to be able to put the proceeds of our IPO to immediate use. Welook forward to embarking on this very significant development project in Moscowand also aim to make rapid progress towards delivering the other plans outlinedto investors in our Admission Document." MirLand's shares commenced trading on AIM on 18 December 2006, having raised£143.3 million to invest in Russian real estate development projects. -ENDS- For further information: MirLand Development Corporation plc +972 522 776 640Roman Rozentalroman@mirland-development.com Financial Dynamics +44 20 7831 3113Stephanie Highett/Dido LaurimoreStephanie.highett@fd.com/dido.laurimore@fd.com THE INFORMATION CONTAINED HEREIN IS NOT FOR PUBLICATION OR DISTRIBUTION INTO THEUNITED STATES. THE MATERIAL SET FORTH HEREIN IS FOR INFORMATIONAL PURPOSES ONLYAND IS NOT INTENDED, AND SHOULD NOT BE CONSTRUED, AS AN OFFER OF SECURITIES FORSALE INTO THE UNITED STATES OR ANY OTHER JURISDICTION. THE SECURITIES OF THECOMPANY DESCRIBED HEREIN HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE U.S.SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), OR THE LAWS OF ANYSTATE, AND MAY NOT BE OFFERED OR SOLD WITHIN THE UNITED STATES, EXCEPT PURSUANTTO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATIONREQUIREMENTS OF THE SECURITIES ACT AND APPLICABLE STATE LAWS. THERE IS NOINTENTION TO REGISTER ANY PORTION OF THE OFFERING IN THE UNITED STATES OR TOCONDUCT A PUBLIC OFFERING OF SECURITIES IN THE UNITED STATES. This information is provided by RNS The company news service from the London Stock Exchange