StockMarketWire.com - Student accommodation developer Unite said it had scrapped its final dividend and suspended its rental income guidance in the wake of Covid-19.
The company also said it would offer to forgo rent for students who choose to return home for the remainder of the 2019/20 academic year.
That offer implied a reduction in company cashflow of £90m-to-£125m in 2020.
'We are implementing a number of actions to mitigate this cash shortfall, including deferring development and non-essential operational capex and cost savings, which would retain an additional £95-105 million of cash in the business in 2020,' Unite said.
'Given risks to our rental income as a result of Coronavirus, we are suspending guidance for like-for-like rental growth and EPRA EPS for 2020,' it added.
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