Boston, MA 08/08/2014 (wallstreetpr) – On August 7, 2014, an international net lease REIT, W.P. Carey Inc (NYSE:WPC), revealed that it has purchased the headquarters of Total E&P Norge AS. The buyout has cost the company almost $114 million, after transaction costs and tax adjustments.
The transaction
The big conglomerate, concentrating in commercial platform, obtained Total Norway’s headquarters in Stavanger, Norway from Norwegian real estate investment developer, and business dubbed Norwegian Property ASA (NPRO). Total Norway has been headquartered here since 1975 and has accomplished quite a few renovation initiatives as well as extensions of the property over the years.
Key facts about the purchase
Total Norway is a fully-owned Norwegian operating subsidiary of French oil and gas market-leader Total SA. The business is specialised in the exploration as well as production of oil and gas on the Norwegian Continental shelf. Stavanger is known to be the oil capital of Europe and also a hub for North Sea oil exploration.
Director remarked
The Director of W.P. Carey Inc (NYSE:WPC), Arvi Luoma, commented that the takeover of Total’s Norwegian headquarters signifies the company’s second prestigious deal in Norway in 2014. In line with the company’s investment moves, W. P. Carey has acquired a “mission” crucial asset with a long-lasting pledge from Total Norway, accentuated by the latter’s outstanding contribution to the Total Group’s global oil as well as gas production.
CEO of NPRO noted
Chief executive officer of NPRO, Olav Line, stated that NPRO is highly enthusiastic to conclude this transaction with W.P. Carey Inc (NYSE:WPC) successfully. The latter’s international competence, financial soundness, and ability to work with NPRO in Norway made W. P. Carey the perfect partner in the deal. Also, the latter’s recognition of the enduring lease with Total Norway made NPRO consider W. P. Carey as an ideal “counterparty.”
Appreciable results
Recently, the company unveiled its financial results for the second quarter and clearly surpassed the expectations. Its revenue, excluding reimbursable costs, and adjusted funds on operations climbed.
