Edmond de Rothschild Real Estate Swiss seeks fresh capital
The Edmond de Rothschild Real Estate SICAV - Swiss sub-fund intends to carry out a capital increase of just under CHF 179 million in September.
According to the Board of Directors, the funds from the issue will be used to reduce the debt financing ratio to between 25% and 28%, and investments in real estate in urban areas are also planned.
Three transactions have already been secured by notarial deeds or are expected to be signed before mid-September 2019: The fund is acquiring a property under construction with 104 apartments in the canton of Geneva, a property with 55 apartments in the canton of Fribourg and a portfolio of three residential properties in the cantons of Geneva, Vaud and Ticino. A total of CHF 110 million will be invested.
As part of the capital increase, up to 1.5 million shares are to be issued at a price of CHF 117.08 each. For every five existing shares, investors can acquire one new share in the Swiss sub-fund for cash. The subscription period will run from September 2 to 13, and the new shares are also scheduled to be paid for on September 20. The total number of shares will rise to around 9.2 million. (ah)
