IMMOFINANZ AG / Key word(s): Real Estate/Acquisition
16.06.2011 / 16:33

IMMOFINANZ Group acquires 100% of leading residential property developer Adama


The IMMOFINANZ Group announces the signing of an agreement for the acquisition of the remaining 69.22% stake in Adama Holding Public Ltd. ('Adama') as of 16 June 2011. IMMOFINANZ has held its investment in this leading South-East European residential property group since 2007 and will now become the sole shareholder. The purchase price for the stake totals EUR 42.43 million. The sellers include the international US-based hedge fund Tiger Global, Morgan Stanley, Lehman Brothers UK in administration and the founding shareholders.

'We decided in favour of the complete takeover of Adama because the company and its brand name are well established in South-Eastern Europe. Our goals are to integrate the expertise and market know-how of local management into the IMMOFINANZ Group and to realise synergies to the greatest extent possible. From our viewpoint, Adama is the ideal platform for the planned expansion of our residential construction and development activities, above all in Romania', commented Daniel Riedl, member of the Executive Board of the IMMOFINANZ Group, on the reasons for this transaction. 'The 100% takeover of Adama also underscores the steady implementation of our strategy to develop non-controlling interests into majority holdings and attain strategic control or to sell these investments', added Riedl.
Adama has completed approximately 1,500 apartments since its founding in 2005, ten projects are currently under construction or realisation. The company has a development portfolio of properties with a total area of over 1,360,000 sqm, which would allow for the realisation of more than 40 additional projects.

Through the sale of apartments, the company was also successful in expanding its market share during the crisis. 'This market strength is a factor we want to use in future projects', explained Riedl. 'Our Romanian portfolio currently includes a number of undeveloped sites in Bucharest. The objective is to create entire city quarters - an interesting challenge that we intend to address with the Adama team as soon as the Romanian economy can provide the necessary environment', commented Riedl on the mid-term plans of the IMMOFINANZ Group.

The formal approval of the competition authorities is required for the contract to become legally valid.

On Adama Holding Public Ltd.
Adama is a leading property developer in South-Eastern Europe that focuses on new residential construction in Romania. In addition to residential construction projects in that country, the company also develops a smaller number of office and commercial projects and is active in Ukraine, Turkey, Croatia and Moldavia. Adama covers the entire property development value chain - from the acquisition of land to planning and approval processes as well as the realisation and marketing of projects. Adama Holding Public Ltd. is a Cypriot holding company whose operating headquarters are located in Bucharest, Romania. Further information under: www.adama-holding.com
 
On the IMMOFINANZ Group
The IMMOFINANZ Group is one of the five largest listed property companies in Europe and is included in the leading ATX index of the Vienna Stock Exchange. Since its founding in 1990, the company has compiled a high-quality property portfolio that now comprises more than 1,600 investment properties with a carrying amount of approx. EUR 8.5 billion. The core business of the IMMOFINANZ Group covers the acquisition and management of investment properties, the realisation of development projects and the sale of objects. The IMMOFINANZ Group concentrates its activities in the retail, office, logistics and residential segments of eight regional core markets: Austria, Germany, Czech Republic, Slovakia, Hungary, Romania, Poland and Russia. In the first three quarters of 2010/11, the company generated gross cash flow of EUR 303.2 million. Further information under: www.immofinanz.com.


Contact:
Simone Korbelius
Investor Relations & Corporate Communications
IMMOFINANZ AG

A-1100 Wien, Wienerbergstraße 11
Tel.: +43 (0) 5 7111 - 2291
M.: +43 (0)699 1685 7291
Fax:  +43 (0) 5 7111 - 8291
 
investor@immofinanz.com
www.immofinanz.com


PRESS CONTACT:
Sandra Bauer
Corporate Communictions & Investor Relations
IMMOFINANZ AG

A-1100 Wien, Wienerbergstraße 11
Tel.: +43 (0)5 7111 - 2292
M.: +43 (0)699 1685 7292
Fax:  +43 (0)5 7111 - 8292
 
s.bauer@immofinanz.com
www.immofinanz.com


End of Corporate News

---------------------------------------------------------------------
16.06.2011 Dissemination of a Corporate News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------

Language: English Company: IMMOFINANZ AG Wienerbergstraße 11 1100 Wien Österreich Phone: +43 (0) 5 7111 - 2291 Fax: +43 (0) 5 7111 - 8291 E-mail: investor@immofinanz.com Internet: http://www.immofinanz.com ISIN: AT0000809058 WKN: 911064 Listed: Freiverkehr in Berlin, München, Stuttgart; Open Market in Frankfurt; Wien (Amtlicher Handel / Official Market)  
 
End of News    DGAP News-Service  
--------------------------------------------------------------------- 128743 16.06.2011