Pioneer Property Group ASA

Report Publication Announcement • Nov 13, 2019

PPG Financial Report for Q3 2019

PPG Financial Report for Q3 2019

Please find attached the third quarter financial report for Pioneer Property Group ASA (PPG PREF).

Highlights for Pioneer Property Group ASA:

- On 9 October 2019, PPG entered into the Purchase Agreement with Odin Bidco AS regarding the purchase of 100% of the shares in Pioneer Public Properties AS and Pioneer Management from PPG with a total purchase price for the shares of NOK 2 734 million. Closing of the Transaction took place on 24 October 2019.

- A portion of the purchase price was also used to reinvest in Odin Bidco AS, resulting in a 10% equity stake in the company with a preliminary value of NOK 256 million.

- PPG is also entitled to an earn-out of up to NOK 100 million conditional upon the future development of the PPP group.

- Odin Bidco is further owned by a consortium consisting of Australian pension funds managed by Whitehelm Capital and the Whitehelm European Infrastructure Fund I incorporated company.

- Following close of the transaction, the material items on PPG's balance sheet comprises cash of approximately NOK 2 510 million, investments of NOK 256 million and real property of a total value of NOK 10 million.

- The preference shares issued by PPG will not be affected by the transaction and the company will continue to be listed on the Oslo Stock Exchange.

- The company was in compliance with all bank and bond-related financial covenants at the end of the quarter. All of the group's financial liabilities were placed within the PPP group, and transferred to the buyer.

- The sold entities have been classified as being held for sale in the report for the third quarter with a total value of assets held for sale of NOK 5 563 million and liabilities associated with assets held for sale of NOK 3 451 million.

- At the end of the quarter PPG paid quarterly dividend to holders of preference shares in total NOK 1.875 per preference share.

For further information, please contact:

Ole-Kristofer Bragnes, CFO

Telephone: +47 917 03 415

E-mail: IR@pioneerproperty.no