First capital increase for Vontobel Sustainable Real Estate Switzerland
Vontobel Sustainable Real Estate Switzerland has been conducting its first capital increase since January 16. The fund management company expects proceeds of around CHF 50 million.
The proceeds will be used to further expand the portfolio, the company says. In particular, already notarized purchases of residential properties in the cantons of Zurich, Vaud and Basel-Landschaft will be financed.
The issue price is CHF 99.20 per share. The subscription period runs from January 16 to March 1, 2018, and the allocation will be announced on March 5. The payment will take place on March 12.
The issue price is based on the valuation of the fund properties by independent valuation experts. It also takes into account the income accrued since the end of the last financial year and incidental costs incurred in the acquisition of properties. The issuing commission for the benefit of the fund management, asset manager and distributor amounts to between 0.45 and 0.75 percent, the statement continues.
A maximum of 505,250 new shares will be issued, increasing the number of shares outstanding from currently around 1 million to a maximum of around 1.5 million. The issue will be carried out on a commission basis ("best effort basis") as part of a rights offering in Switzerland. One subscription right will be allocated to each existing share; two subscription rights entitle the holder to subscribe for one new share against payment of the issue price in cash. There will be no official subscription rights trading. The subscription rights are transferable. Subscription rights not exercised during the subscription period expire. The fund management reserves the right to take over unsubscribed shares and subsequently place them on the market free of charge.
Vontobel Sustainable Real Estate Switzerland invests primarily in residential properties throughout Switzerland, with a focus on the sustainability of the properties. The criteria of energy and environment, comfort and well-being, quality of use and flexibility, mobility and surroundings all play a role.
