Swiss Life Fund: Capital increase for portfolio acquisition
The real estate fund Swiss Life REF (CH) Swiss Properties plans to increase its capital by CHF 300 million in December. The new funds will be used to acquire a real estate portfolio worth around 340 million.
According to Swiss Life Asset Managers, the issue will be carried out on a commission basis ("best-effort basis") as part of a public rights offering in Switzerland, with a subscription ratio of 5:1. An official rights trading would take place on the SIX Swiss Exchange from November 29 to December 8, 2021. A total of up to 2.7 million new units in Swiss Life REF (CH) Swiss Properties are to be issued. Swiss Life Asset Managers intends to announce the issue price in the second half of November. The subscription period is planned from November 29 to December 10, 2021, with payment on December 16, 2021.
The fund intends to use the proceeds from the issue to acquire an access portfolio worth around 340 million, which is currently owned by Swiss Life AG. The portfolio consists of 17 properties and is characterized by high location and property quality, according to the asset manager. These are residential properties in economically strong regions, and about half of the properties are located in the cities of Zurich, Geneva and Lausanne and their immediate neighboring communities, it said. According to further information, after the acquisition the fund will have 155 properties with almost 4,000 apartments and will generate around 70% of the fund's income from rental apartments. (ah)
