AXA Immovation Residential: Significantly oversubscribed capital increase

The AXA Immovation Residential real estate fund has successfully completed its latest capital increase. According to the fund management, the 67,500 new shares to be issued were sold during the subscription period from 4 to June 15, 2018 significantly oversubscribed. Due to this oversubscription, a linear reduction was necessary, taking into account the subscription rights. As a result of the issue, the fund received new money in the maximum amount of CHF 76 million.

The issue was carried out on a best-effort basis; the new shares will be paid out on June 25, 2018. The number of units in circulation as at the date of payment is now 337,500 with net fund assets of CHF 382.7 million. The fund manager intends to use the proceeds from the issue to further expand the investment portfolio and to repay short-term debt.

According to the fund management, the AXA Immovation Residential real estate fund has a broadly diversified Swiss residential real estate portfolio that aims to achieve stable and continuous performance and distributions. The investments focus on cities in high-growth economic regions and their catchment areas. Investments are made both in existing properties and in attractive development and construction projects. The requirement here is that at least 80 percent of the total rental income must be generated from residential use.