Ad Hoc Announcement: Acquisition of Helvetic Financial Services AG and integration of Hannover Leasing Group; guidance 2017 for net income raised to Euro 85-90 million
CORESTATE Capital Holding S.A. (CORESTATE) today contractually agreed the acquisition of all shares in Helvetic Financial Services AG (HFS), based in Wollerau (Switzerland). With the acquisition of HFS, CORESTATE will expand its value proposition to include mezzanine real estate financing and grow its fund business.
Upon closing of the two transactions, i.e. HFS and Hannover Leasing Group (HL), CORESTATE’s assets under management will increase to Euro 20 billion. As a result, CORESTATE will position itself as a leading listed asset and investment manager with a focus on real estate equity, debt and alternative assets in the German-speaking region.
The acquisition of HL will be financed out of company funds. The purchase price for HFS in the mid three-digit million range will be financed by the issuance of 7.4 million new shares in exchange for non-cash contributions from the authorised capital to HFS shareholders as well as by debt capital and own funds.
In view of these acquisitions and a positive market outlook, CORESTATE raises its guidance for the ongoing financial year 2017. Net income before one-off items increases from Euro 36-37 million to 85-90 million.
