Zentra Group plc: Transition to Aquis and Strategic Update

DJ Zentra Group plc: Transition to Aquis and Strategic Update

Zentra Group plc (ZNT) 
Zentra Group plc: Transition to Aquis and Strategic Update 
11-Dec-2024 / 07:00 GMT/BST 
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11 December 2024 
 
ZENTRA GROUP PLC 
("Zentra", "the Company" or "the Group" or "ZNT") 
Zentra Group plc: Transition to Aquis and Strategic Update 
 
Zentra Group PLC (the "Company" or "Zentra"), the UK-based residential developer and development manager, is pleased to 
provide an update on in its transition to the Aquis Stock Exchange and its restructure. 
Transition to Aquis Stock Exchange 
As part of the Company's ongoing evolution, Zentra is pleased to have transitioned from the Main Market of the London 
Stock Exchange ("LSE") to the Access Segment of the Aquis Stock Exchange Growth Market ("AQSE"). This transition 
reflects the Company's size and objectives, aligning more closely with AQSE's growth-focused market. The Board believes 
that AQSE offers a more suitable platform to support Zentra's ambitions and that it will help position the Company for 
future growth. 
The move is expected to unlock increased visibility and access to a more suitable investor base, supporting Zentra's 
commitment to sustainable growth and long-term value creation. The transition will enable the Company to operate within 
a market that better reflects its current stage, positioning it for further success in its core residential sectors. 
Strategic Realignment and Restructuring 
The past year has been transformative for Zentra as the Company has implemented a significant restructuring plan to 
streamline operations and better position itself within the UK residential development market. This transformation 
includes the discontinuation of its co-living and in-house construction businesses, in favour of a single focus on 
delivering high-quality residential apartments and houses. 
The key aspects of this restructuring are as follows: 
 1. Operational Focus on Core Residential Sectors 
  Zentra has honed its business strategy to two key areas of residential development: 
   -- Zentra Living - delivering modern, vibrant residential apartments aimed at professional urban dwellers. 
 
   -- Zentra Homes - providing family houses tailored to individuals seeking traditional housing options. 
 
This dual-brand strategy enables the Company to target a broader spectrum of the residential market, creating distinct 
offerings for both professionals and families. By moving away from co-living services, which have been adversely 
affected by market challenges, and transitioning to more traditional residential offerings, the Company aims to capture 
growth opportunities in the mainstream housing market, which remains resilient despite broader economic uncertainty. 
 2. Restructuring of Debt and Capital Allocation 
  As part of the strategic realignment, Zentra has undertaken a significant restructure of its debt and capital 
  allocation. Alongside this, the Company has recently completed both a major acquisition and sale: 
   -- Acquisition of One Victoria, Manchester: The Company recently announced the acquisition of a 30% stake in 
  the One Victoria project in Manchester for GBP3 million. One Victoria, a high-quality residential and commercial 
  development, is a key addition to the Company's portfolio. The project, which consists of 129 apartments and 2 
  commercial units, is scheduled for completion in 2025. Zentra will also continue to act as Development Manager for 
  the project. 
   -- Sale of Completed Properties: Zentra also recently announced the sale of a GBP7 million portfolio of 
  completed residential and commercial properties. This sale includes properties in key assets such as Bank Street in 
  Sheffield and Lincoln House in Bolton, providing valuable capital to reduce the Company's debt and strengthen its 
  balance sheet. 
In July 2024, Zentra completed the sale of Seaton House, Stockport, for GBP600,000. Additionally, the Company has 
exchanged conditional contracts for the sale of the land to the rear of Seaton House, an existing car park, for a price 
of GBP400,000. Completion of this sale is subject to the buyer obtaining planning approval which is expected in Q1 2025. 
Zentra continues to hold a development management contract on One Heritage Tower, Salford (with planning permission for 
542 residential apartments and 2 commercial units). Any sale secured will generate for the Company a 3% fee of the 
gross proceeds. 
The Company also owns land in Churchgate in Leicester, and as previously announced, it will be securing a sale in due 
course. This process has been delayed due to a rights of light dispute, with a sale now expected in Q1 2025. 
 3. Service Agreement with OH UK Holdings 
  In addition to the changes outlined above, the Company is also pleased to announce the signing of a new service 
  agreement with OH UK Holdings, a related party due to it having the same beneficial owners as Zentra. Under this 
  agreement, Zentra will provide management and sales services to OH UK Holdings, in respect of their property 
  portfolio. 
 
The key terms of the agreement are: 
   -- A management fee of GBP50,000 per annum, or 1.75% of the gross asset value, whichever is higher. 
   -- A transaction fee of 2% of the gross sale price for each property disposed of. 
Jason Upton, CEO of Zentra Group, commented: 
"We are excited to announce the next chapter for Zentra as we transition to AQSE and align our business for the future. 
Our renewed focus on residential development, combined with our recent acquisitions and restructuring, positions us 
well for sustainable growth. We are confident in our ability to help meet the housing needs of communities across the 
North of England and look forward to expanding our development pipeline in the years ahead. Our strategic partnerships, 
including the new service agreement with OH UK Holdings, reinforce our commitment to value creation for all 
stakeholders. We are confident that our new direction will deliver long-term value for shareholders and contribute 
positively to the housing shortage in the UK." 
Further updates will be provided in due course. 
 
Contacts 
 
Zentra Group plc 
Jason Upton 
Chief Executive Officer 
Email: [e-mail] 
 
Robert Holbrook 
Head of Finance 
Email: [e-mail] 
 
Hybridan LLP (Financial Adviser and Broker) 
Claire Louise Noyce 
Email: [e-mail] 
Tel: [phone] 
About Zentra Group plc 
Zentra Group is a property development and management Company. It focuses on the residential sector primarily in the 
North of England, seeking out value and maximising opportunities for investors. The Company is currently listed on the 
Access Segment of the Aquis Stock Exchange Growth Market, trading under the ticker ZNT. 
For further information, please visit the Company's website at www.zentragroup.co.uk The previous website 
www.oneheritageplc.com will automatically redirect to the new website. 
 
 
 
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Dissemination of a Regulatory Announcement, transmitted by EQS Group. 
The issuer is solely responsible for the content of this announcement. 
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ISIN:      GB00BLF79495 
Category Code: MSCH 
TIDM:      ZNT 
LEI Code:    2138008ZZUCCE4UZHY23 
OAM Categories: 3.1. Additional regulated information required to be disclosed under the laws of a Member State 
Sequence No.:  364334 
EQS News ID:  2048409 
 
End of Announcement EQS News Service 
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December 11, 2024 02:00 ET (07:00 GMT)