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Intu talks to banks, expects covenant breaches

The ultimate hit to rental collections and valuations at the end of June is likely to result in breaches of covenants or material liquidity, Intu said

Intu Properties PLC said on 18 May that its centres will remain semi-closed until June 1, and that while talks with lenders are continuing, it expects to break covenants or material liquidity requirements.

The UK shopping-centre operator said the damage wrought by the coronavirus pandemic will keep its centres – with the exception of essential stores – closed, and the speed of the market recovery after the lockdown is ended remains unclear.

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