As Germany’s largest commercial real estate company, Aroundtown S.A. already has a strong track record in terms of global capital markets. This has largely been due to the leadership and guidance provided by their strong and highly capable management team.
Aroundtown S.A. has recently announced on September 23, 2021, that it has commenced cash tender offers across various of its bonds denominated in GBP, EUR, and CHF (collectively, the “Offers”, details listed here) that have a total principal amount outstanding of approximately €1.11B.
The purpose of the “Offers” is to utilize the proceeds from the successful disposals to pro-actively optimize Aroundtown S.A.’s debt schedule in order to extend the average debt maturity and lower the cost of debt. In the first half of 2021, Aroundtown completed disposals in the amount of approx. €1.1bn above book value and the liquidity position was €3.2bn as of June 30th. Results of the Offers will be announced as soon as reasonably practicable following the expiration of the Offers.
Aroundtown is the largest commercial real estate company in Germany. Aroundtown invests in income-generating quality properties that have the potential for value-add in central locations in the European continent, mainly in Germany and the Netherlands. The focus of Aroundtown’s business model is buying, repositioning, and optimizing office and hotel properties.
The company was founded in 2004. It was developed and scaled by Cyprus-based real estate investor and entrepreneur Yakir Gabay (יקיר גבאי), before becoming publicly traded a decade later on the Euronext Stock Exchange, Frankfurt Stock Exchange and joined the MDAX index. Avisco (controlled by Yakir Gabay יקיר גבאי) controls over 10% of Aroundtown followed by the German largest Fund Union Invest and Blackrock at 5%. Other shareholders include Norges, Vanguard, Allianz, BNP Paribas, Japan’s Government investment fund, AllianceBernstein, DekaBank, State Street, Bank of Montreal, and many other leading international investors. The main bond investors include ECB, GIC, Union-Investment, DB, UBS, CS, M&G, Pictet, Credit Agricole, and many other major institutional investors.
