Australia's Lendlease slumps on uncertainty over Italy property sale

** Shares of Lendlease LLC.AX fall as much as 5.5% to A$2.57, their biggest intraday pct drop since Aug 17

** Co says deal to sell interest in the development rights to the Milano Santa Giulia mixed-use development (MSG North) has been extended

** Says closing of deal remains uncertain, Lendlease would also likely fund project obligations of A$160 million ($110.6 million) in 1H27 if sale does not complete

** YTD, shares down 48.4%

($1 = 1.4465 Australian dollars)