Peach Property issues 300 million bond

The corporate bond will have a term of five years and will be placed exclusively with institutional investors in Europe and qualified investors in the United States, Peach Property Group AG announced. The interest rate will be determined by means of a bookbuilding process.

The additional funds to be generated by the bond placement are part of the financing structure for the newly acquired real estate portfolios totaling 10,290 apartments in Germany, Peach Property added. Other parts will be financed by raising mortgages and a CHF 200 million capital increase, it added. The capital increase will be implemented through the issuance of a mandatory convertible bond, 150 million to Ares Management. According to the company, a further 50 million will be placed with institutional and private investors. (ah)