Sihl MIAG: Real estate company will not be liquidated for the time being
Sihl Manegg Immobilien AG (Sihl MIAG), the former owner of the site on which Zurich's Greencity is currently being built, will no longer be liquidated this year as originally planned.
Sihl MIAG sold the eight-hectare site of the former Sihl paper mill in the south of Zurich to Losinger Marazzi and the edifondo pension fund in 2014. Losinger Marazzi is currently realizing the major Greencity project on the site. Following the sale, it was decided to liquidate Sihl MIAG, which was expected to take one to two years.
However, the liquidation has been postponed: as Sihl MIAG writes in an interim report dated November 24, a legal dispute is still pending regarding an invoice for CHF 800,000, which was the result of an undetected burst water pipe on the site. The legal dispute with the City of Zurich was decided in favor of the city by the Federal Supreme Court in summer 2016. However, Sihl MIAG is of the opinion that the costs should be borne by the then operator and facility manager Bouygues E&S FM Schweiz AG (then MIBAG) and its insurer Axa Winterthur.
Negotiations are ongoing, but no solution is expected this year, Sihl MIAG announced. If no agreement is reached, there will be another legal dispute. Sihl MIAG can only be liquidated once the legal dispute has been concluded.
The company also announced that an Extraordinary General Meeting will be held on December 15, 2016. At the AGM, shareholders will be asked to approve a discount payment of CHF 8.70 per bearer share with a nominal value of CHF 5. The shares of Sihl Manegg Immobilien AG are traded over-the-counter on OTC-X. (ah)
