WOOD Flash – Immofinanz: announces intention to launch cash bid for S Immo, at EUR 18.04/share
Immofinanz, a 26% shareholder of S Immo, has announced that it intends to launch a voluntary public takeover offer, to the shareholders of S Immo, at EUR 18.04/share. The offer document, with details, will be published in due course, but we understand that this is a cash offer, and no share component is planned currently. The offer price implies a 22% discount to the EPRA NAV, and we do not expect it to achieve a full take-up at this level. The offer price values the remaining shares of S Immo at EUR 930m. If the transaction is taken up fully, the LTV of the combined entity would increase to around 55-60%, on our estimates. Accordingly, if the offer has a good take-up, we believe that Immofinanz would have to raise capital in order to avoid losing the investment grade credit rating it has currently. However, we cannot rule out that the rating agencies could put the rating “under review”, in wake of the announcement. On our estimates, under the unlikely “full take-up” scenario, Immofinanz would need to issue around EUR 1.0-1.5bn of new equity in order to bring the LTV to below 40%. It is not clear, at this stage, what implications this offer could have for Immofinanz’s dividend; a period without a dividend seems a logical possibility, subject to take up, in our view.Immofinanz AG is an Austria-based real estate company that invests in commercial properties. The Company's core activities are the management and development of retail and office properties in selected Central and Eastern European countries. The Company focuses its operations on such markets as Austria, Germany, the Czech Republic, Slovakia, Hungary, Slovenia, Romania and Poland. The Company manages a portfolio of approximately 240 properties, covering rentable space of approximately 1.8 million square meters. In the office sector, the Company concentrates on the capital cities of the core countries and the major office locations in Germany with its international myhive brand. The Company's activities in the retail sector are based on the brands STOP SHOP for retail parks and VIVO! for shopping centers which are designed for secondary and tertiary cities of Central and Eastern Europe.
WOOD & Company is the leading investment bank in Emerging Europe. Founded in 1991 and head-quartered in Prague, our footprint spans the region and touches investors around the globe.
A pioneer in Emerging Europe, WOOD executed many of the first CEE equity trades and landmark investment banking transactions. Our electronic trading platform was the first in the region, and remains the best. We are continually expanding our relevance and reach in these ever-evolving markets.
Our equity market share reflects our stature: 7% in Warsaw, 20% in Bucharest, 16% in Hungary, 40% in Prague and 5% in Vienna. Our distribution is unparalleled, with the largest salesforce in the region, servicing a uniquely diverse investor base.
We couple local expertise with a truly international perspective. With offices on the ground in the region, and in key financial hubs such as London and Milano, we are never far from our clients and we remain at the forefront of what’s afoot in the CEE emerging and frontier landscape.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.