Swiss Life Asset Management AG / Key word(s): Capital Increase/Acquisition
2 September 2020
A capital increase is planned for Swiss Life REF (CH) Swiss Properties at the start of December 2020. The aim is to acquire a high-quality real estate portfolio worth around CHF 500 million.
The real estate fund Swiss Life REF (CH) Swiss Properties was launched on 2 November 2015 and successfully listed on the SIX Exchange in June 2019. The earnings and value development of the properties as well as the expansion of the portfolio have led to the successful development of the fund (annual performance since launch: 8.96%). Its investment focus is on residential real estate in Swiss cities and their suburbs. It also invests in commercial properties in central locations. The portfolio had 88 properties with a market value of around CHF 1270 million as at the end of March 2020.
The acquisition of a high-value property portfolio of approximately CHF 500 million is being evaluated to continuing the successful strategy of qualitative growth. The portfolio is currently owned by Swiss Life Ltd. Swiss Life Asset Management Ltd has received the necessary authorisation from FINMA for the planned acquisition. The issue of new units to finance the property portfolio is planned for December 2020. Investors will benefit from the broader diversification achieved through expansion of the portfolio.
The new portfolio of 46 properties features a very high location and property quality and generates around 85% of rental income from residential units producing a steady return (more than 1100 apartments). Over three quarters of the properties are located in major cities and their suburbs or in medium-sized towns. With 23 properties, the focus is on Switzerland's dynamic major cities (Zurich 11, Geneva 5, Lausanne 4 and in Basel 3 properties). Following the acquisition, the fund will have 134 properties with more than 3200 apartments. Investors will thus continue to participate in the development of first-class Swiss real estate investments in the future.
The specific conditions of the planned capital increase will be announced in late autumn. Further information about the fund can be found by following the link.
End of ad hoc announcement
|Company:||Swiss Life Asset Management AG|
|Phone:||+41 43 284 41 89|
|Listed:||SIX Swiss Exchange|
|EQS News ID:||1124495|
|End of Announcement||EQS Group News Service|