Novavest and Senioresidenz want to merge
The two companies have jointly announced that they are still considering a merger at an early stage.
The Boards of Directors of Novavest Real Estate AG and Senioresidenz AG have announced that the possibility of a merger between the two companies is being examined. "The merger of the two real estate companies would create an extremely attractive and cyclically resistant portfolio, as the properties of Novavest Real Estate AG are primarily focused on residential use and those of Senioresidenz AG mainly on senior residences and care facilities," it says.
The composition of the joint real estate portfolio would result in "optimal diversification in terms of uses as well as macro and micro locations". The fact that the two portfolios together weigh in at over CHF 1 billion is also highlighted as an advantage. "This would achieve a strategic portfolio size that has advantages in terms of attractiveness for investors, expanded financing options and the exploitation of synergies and economies of scale," writes Novavest. The talks are nevertheless at a "very early stage".
Novavest with a loss of 4 million francs
Novavest also announces key figures for the past financial year. The value of the real estate portfolio fell from CHF 811.8 million to CHF 783.6 million. A smaller residential property in Wil and a residential and commercial property in Bülach were sold, both at a profit, according to the statement. Rental income rose by around 2% to CHF 29.9 million. The revaluation resulted in a devaluation totaling CHF 20.6 million. The bottom line is expected to be a loss of CHF 4.0 million, following a profit of CHF +22.4 million in the previous year. Excluding the revaluation result, a profit of CHF 12.7 million was generated.
Senioresidenz is also expecting a loss for the financial year (IB reported here). (aw)
