CPI Europe AG — M&A Activity 2011

Jun 16, 2011

News Details

Corporate | 16 June 2011 16:33

IMMOFINANZ AG: IMMOFINANZ Group acquires 100% of leading residential property developer Adama

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

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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