GERMANY/UK - Aberdeen Property Investors Holdings has acquired German property investement group DEGI for a cash consideration of approximately €110m.

Having bought Deutsche Gesellschaft für Immobilienfonds mbH (DEGI) from Dresdner Bank, Aberdeen Asset Management's subsidiary has increased its German real estate assets by €6.4bn to €8bn.

DEGI started off as specialist retail fund manager but now also runs semi-institutional open-ended funds as well as Immobilien-Spezialfonds - property investment vehicles created specifically for the needs of institutional investors.

This latest acquisition is still subject to regulatory approval but is expected to close in April at which point Aberdeen Property, now with €13bn in assets under management, will take on board the DEGI management and staff.

Dresdner Bank said the sale will provide DEGI with new possibilities for growth with access to new international property markets and the banking group stated Aberdeen will be its "strategic partner" for property investments following the acqusition.

DEGI reported profit before taxation of €8.5m in 2006, with gross assets of €44.1m.

Aberdeen opened its first office in Germany at the beginning of last year, headed by Hartmut Leser, who was formerly from Feri Institutional Advisors.


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