Summit Germany Limited EUR 100 million German Portfolio Acquisition (1329J)

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RNS Number : 1329J

Summit Germany Limited

26 June 2017

Summit Germany Limited

("Summit" or the "Company")

EUR100 million German Portfolio Acquisition

26 June 2017

Summit Germany Limited, the AIM-listed German commercial property investment company, is pleased to announce that it has entered into an unconditional agreement with Dazzle Capital Holdings Ltd., for the acquisition of a portfolio of commercial properties at a total purchase price of approximately EUR100 million including acquisition costs, located in 4 different sites in the city of Wolfsburg, Germany.

The aggregate annual net rent from these properties is EUR7.9 million, which reflects rental yield of 7.9%.

The purchase price net of liabilities in the amount EUR70 million will be financed by the Company's existing cash of EUR30 million.

The acquired assets, consisting of 80,000 sqm of lettable area, were constructed in the years 1999 - 2014 over 130,000 sqm of land, and are fully let, mainly to the Volkswagen group (approximately 60% of the lettable space through 15 different leases), as well as to other leading companies in the automotive industry.

This acquisition will increase the company's GAV from EUR800 million to EUR900 million and the net rent from EUR58 million to EUR66 million.

Completion of the acquisition is expected in the coming days.

Wolfsburg is a city with a population of 120,000 in the center of Germany recently ranked as the German city with highest GDP per capita and is the location of Volkswagen headquarters and the world's biggest car plant.

For further information please contact:

 
Summit Germany Limited              Tel: [phone] 
                                     700 300 
Zohar Levy - Managing Director 
Itay Barlev (Braun) - Finance 
 Director 
 
Non-Executive Chairman              Tel: [phone] 
                                     7050 
Harry Hyman 
 
Carey Group, Company Secretary      Tel: [phone] 
                                     700 300 
Sara Bourne 
 
Liberum Capital Limited, Nominated  Tel: [phone] 
 Adviser and Joint Broker            2222 
Chris Clarke / Jill Li 
 
Cenkos Securities, Joint Broker     Tel: [phone] 
                                     8900 
Ivonne Cantu 
Russell Kerr / Selwyn Jones 
 (Broking) 
 
 
  Inside Information 
  This announcement contains inside information 
  which is disclosed in accordance with the Market 
  Abuse Regulation. 
 
 

This information is provided by RNS

The company news service from the London Stock Exchange

END

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June 26, 2017 04:50 ET (08:50 GMT)