D.V.I. Deutsche Vermögens- und Immobilienverwaltung GmbH
D.V.I. Deutsche Vermögens- und Immobilienverwaltung GmbH: DVI makes capital market debut with EUR 350 million bond issuance
DGAP-News: D.V.I. Deutsche Vermögens- und Immobilienverwaltung GmbH
/ Key word(s): Issue of Debt
– First-time issuance of a listed bond marks milestone in the Group’s history The DVI Group, an owner-managed real estate investor and manager of residential and office real estate in large German cities, issued its first listed bond (ISIN XS2431964001). Marketing of the bond had started with a virtual investor roadshow in December and resulted in the placement of € 350 million to 33 institutional investors from 14 European countries. Deutsche Bank acted as sole global coordinator and, together with UniCredit, as joint bookrunners. The bond proceeds will primarily be deployed to finance new acquisitions of residential and office real estate in large German cities with a positive economic environment. Secondly, a portion of the proceeds are destined for the early repayment of existing bank loans thereby increasing DVI’s portfolio of unencumbered real estate assets. The five-year bond will pay an annual interest coupon of 2.5% and will be the first of a series of bond emissions planned for the future. The first-time emission of a listed bond adds a meaningful pillar to DVI’s financing structure. It will complement the Group’s ability to execute new acquisitions in a flexible manner. Ratings by Fitch Ratings and S&P Global Prior to the bond’s placement, DVI’s creditworthiness had been rated by the internationally renowned rating agencies S&P Global and Fitch Rating, both of which assigned DVI and the planned bond with the investment grade rating of BBB- with a stable outlook. Fitch Ratings notes the following in its rating report: “The first-time ratings of DVI reflect its residential-for-rent [.] Berlin concentrated portfolio and expanding exposure to regional offices in other large cities in Germany.” In its report, S&P Global notes: “The stable outlook reflects our view of DVI’s highly resilient residential real estate portfolio. We expect the group’s assets to generate stable income over our forecast horizon given high occupancy against the backdrop of very favourable market dynamics in Germany, especially in Berlin.” The assigned ratings confirm the creditworthiness of DVI and the solidity of the Group’s planned growth trajectory. Positive business development in 2021 In 2021, despite the disruptions caused by the coronavirus pandemic DVI acquired real estate in Berlin, Erfurt, and Mainz with a rental area of over 80,000 square metres, bringing its total portfolio of income-yielding real estate to approximately 790,000 square metres. Also in 2021, the Group collaborated with its project partners to start construction works on the new office building at Berlin’s Alexanderplatz, known as C1 – Central One Midtown Offices, and acquired a commercial development site at Berlin Brandenburg Airport measuring 220,000 square metres.
About the DVI Group
09.02.2022 Dissemination of a Corporate News, transmitted by DGAP – a service of EQS Group AG. |
Language: | English |
Company: | D.V.I. Deutsche Vermögens- und Immobilienverwaltung GmbH |
Gartenstraße 50 | |
12529 Schönefeld | |
Germany | |
Internet: | www.dvi.de |
EQS News ID: | 1278262 |
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