360 Capital Group sale of HPI stake announcement

360 Capital Group (ASX: $TGP) has announced the sale of its strategic stake in Hotel Property Investments (ASX: $HPI) for $96.9 million. Following the sale, the Group will have approximately $114 million in cash, equivalent to approximately $0.53 per TGP security. The sale price represents a premium of $13.9 million above the Group's 31 December 2023 carrying value of the HPI stake, representing approximately 6.5 cents per TGP security. The Group has also withdrawn its earnings guidance for FY24 as a result of the sale and will provide further earnings guidance subject to redeployment of the proceeds from the HPI sale.

Executive Commentary on the Sale of HPI Stake

The sale of our strategic stake in Hotel Property Investments represents a significant milestone for 360 Capital Group. The proceeds from this sale will provide us with the financial flexibility to pursue new opportunities and enhance shareholder value. While the withdrawal of our earnings guidance for FY24 is a necessary step due to the sale, we are confident in our ability to redeploy the proceeds effectively and provide updated guidance in the future.

Summary of 360 Capital Group's Announcement

360 Capital Group (ASX: $TGP) has successfully sold its strategic stake in Hotel Property Investments for $96.9 million, resulting in approximately $0.53 per TGP security. The sale price represents a premium of $13.9 million above the Group's carrying value of the HPI stake as of 31 December 2023. The Group has withdrawn its earnings guidance for FY24 but intends to provide updated guidance after redeploying the proceeds from the sale. This strategic move positions the Group to pursue new opportunities and enhance shareholder value in the future.