Corporate News
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The Grounds Real Estate Development AG: following the non-cash capital increase and contribution of the operating business, a capital increase with subscription rights is planned to further accelerate growth of The Grounds Group
- From 9 November onwards, shareholders can subscribe up to 5.1 million new shares at EUR 2.20 each in the ratio 1:44
- The main purpose of the issue proceeds is corporate growth
Berlin, 3 November 2017. The offer period for The Grounds Real Estate Development AG’s capital increase against contributions (ISIN DE000A2GSVV5) will start on 9 November 2017.
Therefore, the company’s shareholders can subscribe for up to 5,100,000 new shares until 23 November 2017 (12:00 hrs.) at a subscription price of EUR 2.20 per new share, whereby the subscription ratio is 1:44 (44 new shares can be subscribed for one old share). This capital increase is based on the resolution of the Annual General Meeting on 22 June 2017, which comprised an increase in the company’s share capital against contributions by up to EUR 17,600,000.00 through the issue of up to 17,600,000 new registered no-par-value shares. Of these, 12,500,000 shares have already been subscribed in the context of the non-cash contribution to inject 94.9% of the shares in The Grounds Real Estate AG – and thus the operating business.
The shareholder base can now be significantly broadened by placing the remaining 5,100,000 shares. Shares not subscribed by shareholders are to be offered to investors, especially in South Africa and Germany, in the framework of a private placement.
The issue proceeds of up to EUR 11.2 million are to be used mainly to accelerate expansion of the property portfolio and existing operating business. Thus, with a correspondingly stronger equity ratio due to the capital measure, the Management Board expects significantly more dynamic growth resulting from implementation of projects currently in the pipeline.
The Grounds Gruppe plans to build up a property portfolio with a volume of EUR 500 million in the medium term.
CEO Andreas Steyer commented “We already reached several operational milestones in a short time in 2017, and secured important projects in the past few months. With successful completion of the current capita increase, we would enter the new financial year in a stronger position, and could accelerate implementation of our pipeline.”
CFO Hans Wittmann added: “The subscription price of EUR 2,20 per share is intended as a kind of compensation to our shareholders for the fact that we are not yet a dividend-paying stock for the current year and also probably not for the coming year. However, the sustained cash flows resulting from the property portfolio build-up and the trading segment represent the basis for attractive dividend payments to our shareholders in the future.
Contact:
The Grounds Real Estate Development AG
Hans Wittmann
Vorstand
Leipziger Platz 3, 10117 Berlin
T. +49 (0) 30 2021 6866
F. +49 (0) 30 2021 6849
E-Mail: info@thegroundsag.com
Web: www.thegroundsag.com
UBJ. GmbH
Ingo Janssen
Geschäftsführer
Haus der Wirtschaft, Kapstadtring 10
22297 Hamburg
T. +49 (0) 40 6378 5410
F. +49 (0) 40 6378 5423
E-Mai: ir@ubj.de
Web: www.ubj.de
Über The Grounds Real Estate Development AG
Erwerb, Projektentwicklung und nachhaltige Bewirtschaftung von Wohnimmobilien
Die The Grounds-Gruppe fokussiert sich auf den Erwerb und die Entwicklung von Wohnimmobilien und hat es sich zum Ziel gesetzt, bezahlbaren Wohnraum für unterschiedliche Phasen von Lebensabschnitten bereit zu stellen, indem sie als Komplettanbieter die Geschäftsfelder Investments (inkl. Property-/ Asset-Management), Development und Trading abbildet. Der Fokus liegt auf Wohnimmobilien, so insbesondere auch Spezialimmobilien wie Studenten- und Altenwohnheime, in den deutschen Metropolregionen und an attraktiven Standorten sowie auf aufstrebenden Randlagen in Deutschland. Mittelfristig soll ein signifikanter und qualitativ hochwertiger Immobilienbestand in einer Größenordnung von 500 Mio. Euro aufgebaut werden, welcher die Erwirtschaftung stabiler Erträge und damit zukünftig attraktive Dividendenausschüttungen an die The Grounds-Aktionäre ermöglicht. Die The Grounds-Gruppe strebt durch die eigene Wertschöpfung im Rahmen der Entwicklung von Wohnraum und der damit einhergehenden Entwicklung der Marktkapitalisierung die Positionierung als einer der führenden deutschen Immobilienunternehmen an.
