Capital increase at 1291 Swiss Investment Foundation

The subscription period for 1291's capital increase runs from Jan. 6 to Jan. 31, 2020. The investment foundation plans to use the additional capital to further expand its portfolio; according to the company, "very attractive acquisition properties are available."

Existing and new investors who are allowed to invest in tax-exempt investment foundations according to Swiss legislation can participate in the capital increase. The issue price corresponds to the net asset value as of January 31, 2020 plus anti-dilution protection and issue commission. The allotment is scheduled to take place on February 3 and the payment on February 7, 2020.

Strong portfolio growth

According to the investment foundation, it has greatly expanded its portfolio in the first half of 2019/2020, acquiring 18 properties worth more than CHF 190 million in the "Real Estate Switzerland" investment group by December 31, 2019.

Among other things, 1291 purchased five residential properties in St. Gallen, Rorschacherberg (SG) and Eschlikon (TG) with a total rental area of over 17,000 sqm at a total investment cost of around 82 million, according to the statement.

It also acquired a commercial property in Kemptthal at a total investment cost of around 31 million. The long-term tenant of the property is the flavor manufacturer Givaudan. The company inaugurated a campus with an innovation center for research & development at the site in June 2019. The building acquired from 1291 is reportedly the headquarters of Givaudan's Flavors Division, which became operational as an administrative building in August 2019.

According to preliminary figures, the real estate portfolio has increased to over CHF 300 million as a result of the acquisitions, 1291 reports. As of December 31, 2019, the investor base comprised a total of 38 tax-exempt pension funds with 48 investment vehicles. At the end of the previous fiscal year on June 30, 2019, there were 27 pension funds.

Managing director resigns

As 1291 announces, Managing Director Stephan Keller will step down after one and a half years as of February 2020 in order to devote himself exclusively to the management of Bank J. Safra Sarasin's pension fund again. Keller had played a significant role in setting up the investment foundation, which was established in August 2018. As of February 1, 2020, Rudolf B. Zeller will take over as CEO; he was most recently Pension Fund Manager and Managing Director of the Zug Pension Fund. (ah)