The largest publicly-quoted property fund run by Dawnay, Day has formally severed its links with the collapsed financial services conglomerate. Dawnay, Day Treveria, which sits on a €2.2 billion portfolio of German retail properties, today terminated its management contract with Dawnay, Day and announced plans to change its name to Treveria.

Dawnay, Day Carpathian and Dawnay, Day Sirius, the two smaller AIM-listed funds also run by the now-defunct group, have already taken similar steps but the labyrinthine structure of Treveria has meant its separation from Dawnay, Day has taken longer to complete.

Treveria Asset Management, which consists of former Dawnay, Day staff, has been appointed as the company’s new internal asset manager, with Cushman & Wakefield, the retail property specialist, brought in as its German-registered adviser.

Ian Henderson, the chairman of Treveria, said: “Management links with the Dawnay, Day group are now severed and continuity in the key personnel has been ensured.”

The company embarked on a strategic review in June before the collapse of Dawnay, Day but, having subsequently decided against the sale of its assets, today ruled out raising additional equity “at this stage” in favour of “prudent cash and debt management”.

The company has net borrowings of €1.8 billion as at June 30. On the same date, its portfolio was valued at €2.2 billion. It generates around €155 million of gross rental income a year and has €75 million of cash. Shares in the company have fallen 93 per cent on the year.

Administrators were called in to Dawnay, Day in July only months after it completed a refinancing backed by Norwich Union. Apart from managing Treveria, from which it took a fee, Dawnay, Day previously held a 9 per cent stake in the company.

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