September 2014, Westgrund AG has issued 40 million new shares in order to finance further growth partly via preplacement, partly by recognition of shareholders´ pre-emptive rights. The emission price was euro 3.50, the gross proceeds amounted to euro 140 million.
Gross proceeds mainly served the financing of the acquisition of the “Berlinovo” portfolio. This portfolio comprises residential units predominantly in Lower Saxony, Brandenburg, Mecklenburg – Western Pomerania and Saxony. This acquisition increases the total portfolio ogf Westgrund AG from about 5,000 units to roughly 17,000 units. Berenberg Bank and Baader Bank jointly managed the capital issue and acted as Joint Global Coordinator and Joint Bookrunner.
In course of the transaction the Westgrund share entered the Prime Standard of the Frankfurt stock exchange.
The capital issue increased the market capitalization strongly and also considerably increased the free float and the number of shareholders in Westgrund AG.