B-A-L Germany AG, owner of residential real estate with a focus on Saxony, has successfully completed its capital increase by 300,000 preferred shares. The shares will be included in stock exchange trading in Vienna and Stuttgart from Monday, September 2, 2019. The capital increase was oversubscribed several times and generated a volume of 540,000 EUR. At the same time, the company announces the entry of a new anchor investor, who will hold 400,000 ordinary shares in the company. This means that the company now has extensive funds at its disposal to further increase the dynamics of the portfolio expansion.
B-A-L Germany AG already had a number of projects in the pipeline and, following a successful capital increase, can already report pleasing growth in its portfolio. In addition to the existing portfolio of 2,627 m^2 as of 30.06.2019, there are signed purchase agreements for a further 2,000 m^2, which will be fully transferred to the B-A-L portfolio by 01.01.2020. The market value of the 35 apartments to be acquired in Saxony is 1.6 million EUR, the occupancy rate is currently 100% and the annual rental income will increase by 120,000 EUR per annum with the acquisition.
Further properties have already been earmarked in the company's own valuation platform RESCORE, so that the total area will increase to more than 5,000 m^2 by the end of the year. Corresponding contracts are at an advanced stage of negotiation, and as usual the administration will be taken over by the long-standing partner IMMO-PLAN.
A further capital increase of the ordinary shares is planned with the newly acquired properties. The new conditional capital will be subject to a vote at the 2019 Annual General Meeting. The Supervisory Board has already given its approval.
Falko Zschunke, CEO of B-A-L Germany AG, comments on the latest development: "We are surprised at the positive external impact of our listing, and we are now in a position to achieve our development goals in a much shorter time. We would like to thank our investors for the high level of interest and are continuing our communication policy as usual in a transparent manner. The portfolio expansion that has now been completed is the biggest step in the relatively young history of our company. In the future, our investors can continue to expect a conservative, predictable and profitable business performance, but we will significantly increase the pace in this respect".
B-A-L Germany AG is supported by the Munich Investment Boutique Capital Lounge GmbH, both in the search for investors and in corporate finance support. Alexander Coenen, Managing Director, comments on the current development of B-A-L: "We are extremely pleased with the accelerated growth of our client B-A-L. After just eight months on the capital market, we were able to positively support the company in all placements and the IPO has proceeded extremely smoothly. Trading in B-A-L shares is highly liquid and possible both in Vienna and Stuttgart. As a capital market coach, we are proud to be able to continue to support such a rapidly growing company in all areas such as investor relations, roadshows and investor search. The deal flow announced by B-A-L underlines the solid business model and the good cooperation with a newly listed company on the capital market. With the current development and the market capitalization now achieved, B-A-L Germany AG will become interesting for completely different investor groups in the future. We are intensively involved in every step of development and remain committed to it."