Warteck Invest acquires residential portfolio in the Basel area

Warteck Invest has signed an agreement to acquire all shares in a public limited company that holds four residential properties in the city of Basel and Binningen as well as a securities portfolio. The real estate company writes this in an ad hoc release. The market value of the properties amounts to CHF 29 million (as at 31.12.2022), while the securities portfolio is worth CHF 63.5 million. Following the transaction, Warteck Invest intends to sell the securities portfolio in order to invest the funds in the development of the real estate portfolio.

As the real estate company further discloses, the conclusion of the agreement is still subject to a number of conditions precedent, including the completion of a successful due diligence on the public company and the receipt of the required tax rulings.

The acquisition would increase annual target rental income by CHF 1.1 million. Provided the deal is completed as planned in the second quarter, Warteck Invest expects an annual contribution to operating earnings before interest and taxes (EBIT) of CHF 2.0 to 2.5 million over five years. The amount would result from the difference between the acquisition costs and the release of the acquired net assets. (ah)