Mobimo and Fadmatt agree to friendly takeover

Mobimo Holding had already shown interest in a takeover in January, but at that time it only wanted to pay CHF 21,000 per Fadmatt share. The board of directors of the Zurich-based real estate company had rejected the offer as too low and launched a structured sales process.

Mobimo Holding has now signed a transaction agreement with Fadmatt and is making its shareholders an offer to acquire all Fadmatt shares. Mobimo reports that several shareholders, who together represent slightly more than 50 percent of the share capital, have already agreed to accept the offer.

Fadmatt, founded in 1861 with the aim of creating affordable workers' housing in Zurich, owns today 503 apartments spread over seven locations in the cantons of Zurich and Schaffhausen. The properties are managed externally; the five-member board of directors is also responsible for their management. Following extensive renovation work and new construction in recent years, the entire portfolio is in good condition, according to Mobimo. The portfolio would generate rental income of over CHF ten million annually.

If the offer is successful, Mobimo will integrate the properties into its own portfolio and its management of the properties.

Among other conditions, the tender of at least 67 percent of the share capital of Fadmatt is required for the offer to be successful. At least half of the takeover price will be paid with shares from Mobimo's authorized capital. The newly created Mobimo shares will be fully entitled to dividends for the financial year 2018. To derive the exchange ratio, the Mobimo share was valued on the basis of a volume-weighted average price of 30 trading days, from the April 30 up to and with the June 13, 2018, fixed at CHF 244.04. This price has already been adjusted for the dividend paid on June 20, 2018 (ex-date) to Mobimo shareholders in the amount of CHF 10.00 per Mobimo share.