Aroundtown S.A. — Earnings Release 2016

Mar 31, 2017

Aroundtown Property Holdings Plc. / Miscellaneous - Medium Priority

31-March-2017 / 07:15 CET/CEST

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CORPORATE NEWS THISANNOUNCEMENT IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTOTHE UNITED STATES,AUSTRALIA, CANADAOR JAPAN ORANYOTHER JURISDICTION WHERE TODOSO WOULD CONSTITUTEAVIOLATION OFAPPLICABLE LAWS OR REGULATIONS

AROUNDTOWN'S FY2016 RESULTS:

OUTSTANDINGEXTERNALAND INTERNAL PORTFOLIOGROWTH, RESULTINGFROMACCRETIVEACQUISITIONS AND OPERATIONAL PERFORMANCE

• Rental and operating income for FY2016 at EUR274 million, up 119% YOY

• EBITDAamounted to EUR1,109 million, compared to EUR1,041 million in 2015

• Adjusted EBITDAincreased by 75% to EUR268 million in 2016

• Net profit at EUR901 million. EPS (basic) at EUR1.11 (EUR1.26 FY2015); diluted EPS at EUR0.87 (EUR1.01 FY 2015)

• FFOI increased by 76% to EUR166 million for 2016

• FFOI per share increased to EUR0.25, 47% YOY

• EPRANAV including perpetual notes at EUR4.3 billion as of December 31, 2016, an increase of 60%, resulting in EUR5.4 per share

- EPRANAV at EUR3.9 billion as of year-end 2016, an increase of 42% from EUR2.7 billion in December 2015. December 2016 EPRANAV per share at EUR4.9, up from EUR3.7 in December 2015

- Total assets amount to EUR8.1 billion at the end of 2016, up 82% from EUR4.4 billion in the end of 2015. Investment property at EUR5 billion in December 2016, up further to over EUR5.5 billion as of February 2017.

• Maintaining conservative financial policy, with LTV at 39% as of December 2016. Considering the conversion of in-themoney convertible bonds, the LTV further drops to 34%

• Low leverage and strong operational performance results in high cover ratios with Interest Cover Ratio at 4.5x and Debt Service Cover Ratio at 3.3x for 2016

• Cash and liquid assets at EUR836 million as of December 2016, complemented by over EUR500 million issued in 2017. The substantial liquidity balance is providing robust firepower to pursue the acquisition pipeline

- In-place rent growth like-for-like at 4.4% and occupancy growth like-for-like at 3.2%, validating the operational capabilities of the management and mirroring the high upside potential in the portfolio

- Updating dividend policy to 65% distribution of FFOI per share, effective for 2016 results, resulting in a dividend payout of EUR0.163, up 220% from2015

31 March 2017.

Carefully selected accretive acquisitions supported by strong access to capital

AT has cherry picked in 2016 EUR2.2 billion assets in top tier cities inGermany and the Netherlands. The acquisitions contributed to the portfolio diversification and to the quality of the portfolio.As of February 2017, the investment property increased to EUR5.5 billion. The total assets in the end of 2016 amounted to EUR8.1 billion, including investment in equity accounted investees, which is comprising primarily of Grand City Properties. The significant increase in total assets positionAT as the largest stock listed commercial real estate company inGermany and well positions the Group to capture economies of scale benefits.

AT succeeded to build a quality portfolio in top tier cities inGermany and the Netherlands such as Berlin, Munich, Hamburg, Frankfurt,Amsterdam and Rotterdam.

The significant external growth was fueled by fruitful capital market activities.AT was the largest European real estate issuer in

2016, raising more than EUR2.5 billion in equity, perpetual notes and straight bonds. Further,AT has achieved good access to the Asian capital market, issuing \$450 million with anchor investors.

Closing 2016 with remarkable operational performance, contributing to the asset quality and to the operational top and bottomline

The commercial portfolio EPRA Vacancy decreased in the end of 2016 to 7.9%, down from 12.8% in December 2015.As of February 2017 the EPRA Vacancy of the commercial portfolio further decreased to 7.3%. The rental income run rate for the commercial portfolio is EUR380 million as February 2017, and the FFO I is EUR178 million. Including the contribution of the residential portfolio, the FFO Irun rate as of February 2017 is EUR230 million.

AT has updated the dividend payout ratio to 65% of FFO I per share, up from formerly 30%, resulting in EUR0.163 per share in 2016 (subject to AGM approval) reflecting a 220% increase from 2015 dividend payout. The updated dividend policy is reflecting a 3.8% dividend yield on 2016 payout and 5.2% dividend yield on February 2017 FFO Irun rate.

Further,AT is currently in the process to upgrade the stock listing to an EU-regulated market and in parallel is in the process to migrate the company to Luxemburg and continue as a Luxemburg Company. These corporate transactions are expected to be completed during the course of 2017. The Company believes that these corporate transactions will increase the visibility and tradability of the Company and will result in inclusion in major stock indices in Europe.

The FY2016 financial report is available on the Company's website: http://www.aroundtownholdings.com/downloads.html

About the Company

Aroundtown Property Holdings Plc (trading symbol:AT1 on Frankfurt Stock Exchange/Xetra;ALATP on Euronext) is a specialist real estate company focused on value-add income generating properties primarily in the German real estate markets.Aroundtown Property Holdings Plc (ISIN: CY0105562116) is a public limited liability company incorporated in 2004 under the laws of Cyprus, having its registered office atArtemidos & Nikou Dimitriou, 54 B, 6027, Larnaca, Cyprus (registered number HE148223).

Contact:

Timothy Wright T: +357-2420-1312 E: info@aroundtownholdings.com www.aroundtownholdings.com

Disclaimer:

THIS ANNOUNCEMENT DOES NOT CONSTITUTE AN OFFER TO SELLOR THE SOLICITATION OF AN OFFER TO BUYANY SECURITIES. THE SECURITIES MENTIONED IN THIS ANNOUNCEMENT HAVE NOT BEEN,AND WILL NOT BE, REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933,AS AMENDED (THE 'SECURITIES ACT'),AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES ABSENT REGISTRATION ORAN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT. THERE WILL BE NO PUBLIC OFFERING OF THE SECURITIES IN THE UNITED STATES. THIS ANNOUNCEMENT IS DIRECTED ATAND IS ONLYBEING DISTRIBUTED IN THE UNITED KINGDOM TO (I) PERSONS WHO HAVE PROFESSIONAL EXPERIENCE IN MATTERS RELATING TO INVESTMENTS FALLING WITHINARTICLE 19(5) OF THE FINANCIAL SERVICES AND MARKETS ACT 2000 (FINANCIAL PROMOTION) ORDER 2005 (THE 'ORDER'), (II) HIGH NET WORTH ENTITIES,AND OTHER PERSONS TO WHOM IT MAYOTHERWISE LAWFULLYBE COMMUNICATED FALLING WITHINARTICLE 49 OF THE ORDER,AND (III) PERSONS TO WHOM IT MAYOTHERWISE LAWFULLYBE COMMUNICATED (ALL SUCH PERSONS TOGETHER BEING REFERRED TOAS 'RELEVANT PERSONS'). THIS COMMUNICATION MUST NOT BE READ,ACTED ON OR RELIED ON BYPERSONS WHOARE NOT RELEVANT PERSONS.ANYINVESTMENT OR INVESTMENTACTIVITYTO WHICH THIS ANNOUNCEMENT RELATES IS AVAILABLE ONLYTO RELEVANT PERSONS AND WILL BE ENGAGED IN ONLYWITH RELEVANT PERSONS. IN MEMBER STATES OF THE EUROPEAN ECONOMIC AREA ('EEA'), THIS ANNOUNCEMENTAND ANYOFFER IF MADE SUBSEQUENTLYIS DIRECTED ONLYAT PERSONS WHOARE 'QUALIFIED INVESTORS' WITHIN THE MEANING OF ARTICLE 2(1)(E) OF DIRECTIVE 2003/71/EC,AS AMENDED (THE 'PROSPECTUS DIRECTIVE') ('QUALIFIED INVESTORS').ANYPERSON IN THE EEA WHOACQUIRES THE SECURITIES IN ANYOFFER (AN 'INVESTOR') OR TO WHOM ANYOFFER OF THE SECURITIES IS MADE WILL BE DEEMED TO HAVE REPRESENTED AND AGREED THAT IT IS A QUALIFIED INVESTOR.ANYINVESTOR WILLALSO BE DEEMED TO HAVE REPRESENTED AND AGREED THATANYSECURITIES ACQUIRED BYIT IN THE OFFER HAVE NOT BEENACQUIRED ON BEHALF OF PERSONS IN THE EEA OTHER THAN QUALIFIED INVESTORS, NOR HAVE THE SECURITIES BEEN ACQUIRED WITHA VIEW TO THEIR OFFER OR RESALE IN THE EEA TO PERSONS WHERE THIS WOULD RESULT INA REQUIREMENT FOR PUBLICATION BYTHE COMPANYORANYOF THE JOINT BOOKRUNNERS OF A PROSPECTUS PURSUANT TOARTICLE 3 OF THE PROSPECTUS DIRECTIVE. THIS ANNOUNCEMENT MAYCONTAIN PROJECTIONS OR ESTIMATES RELATING TO PLANS AND OBJECTIVES RELATING TO OUR FUTURE OPERATIONS, PRODUCTS, OR SERVICES, FUTURE FINANCIAL RESULTS, ORASSUMPTIONS UNDERLYING OR RELATING TOANYSUCH STATEMENTS, EACH OF WHICH CONSTITUTES A FORWARD-LOOKING STATEMENT SUBJECT TO RISKS AND UNCERTAINTIES, MANY OF WHICHARE BEYOND THE CONTROLOF AROUNDTOWN PROPERTYHOLDINGS PLC.ACTUAL RESULTS COULD DIFFER MATERIALLY, DEPENDING ONA NUMBER OF FACTORS.

Archive at www.dgap.de/ukreg

English
Aroundtown Property Holdings Plc.
Faros, Shop 2, Spyros Thalassines Alkyonides
7560 Larnaca
Cyprus
www.aroundtownholdings.com
XS1151498737
A1ZTVA
Regulated Unofficial Market in Berlin, Stuttgart; Open Market in Frankfurt; Paris
Category Code:MSCM
IRSH
Sequence No.: 4010

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