Fresh money for Varia US Properties

Varia US Properties successfully completed its capital increase, which was approved by the Extraordinary General Meeting on December 8, 2017. As part of the rights offering, existing Varia shareholders were offered 1,800,203 new registered shares. Shareholders received one subscription right per registered share held. Four such subscription rights entitled the holder to subscribe for one new registered share at the offer price of CHF 35.50/share.

According to the Zug-based company, 89.1 percent of the subscription rights were exercised, which corresponds to a subscription of 1,603,703 new registered shares. The remaining 196,500 new registered shares, for which subscription rights were granted but not exercised in the rights offering, were placed on the market at the offer price. Due to the strong market demand for new shares in the rights offering, the allotments had to be significantly reduced. In total, Varia will issue 1,800,203 new registered shares at a price of CHF 35.50 each; the company expects gross proceeds of CHF 63.9 million from the capital increase.

As a result of the offer, the total number of shares will increase from 7,200,815 to 9,001,018. The listing and first day of trading of the new registered shares on SIX SwissExchange is expected to take place on January 16, 2018.

Patrick Richard, Delegate of the Board of Directors of Varia, expressed his satisfaction with the strong market demand: "Varia will continue on its current course and further expand its real estate portfolio in the USA. We will use the proceeds from the capital increase to acquire further promising properties in our target markets and regions in the USA."