Vienna-listed CA Immobilien is selling its shareholding of 25% in development company UBM Realitätenentwicklung Aktiengesellschaft to Austrian construction company PORR for €36 mln.
Vienna-listed CA Immobilien is selling its shareholding of 25% in development company UBM Realitätenentwicklung Aktiengesellschaft to Austrian construction company PORR for €36 mln.
The sale is part of CA Immo's strategic plan to focus on its core real estate investment business. The sales price translates to approximately €24 per share, or 38% above the volume-weighted average price of UBM's shares for the last six months prior to signing of the agreement.
Closing of the transaction is scheduled by 31 October 2014 at the latest and is subject to the approval of competition authorities as well as supervisory board approval from PORR.
Ongoing projects that are being realised in partnership with UBM - including the Poleczki Business Park in Warsaw and Airport City in St Petersburg - will be unaffected by the transaction, the company said in a press statement.
Commenting on the sale, CA Immo's CEO Bruno Ettenauer said the participation in UBM amounted
to 'a useful and important partnership' in the context of joint development projects. 'We have now established our own internal platform of wide-ranging project development know-how. Aside from focusing on core business, our strategic agenda also envisages a steady reduction in joint venture
partnerships, especially in the CEE region. Selling our holding in UBM at this point thus represents a logical step.'
CA Immo is a specialist in office properties in European capitals. Founded in 1987, CA Immo currently manages property assets of around €3.8 bn in Germany, Austria and CEE.
UNICREDIT
Separately, CA Immo revealed that UniCredit Bank Austria - one of its major shareholders - is evaluating its 16.8% stake in the property company with a view to 'monetising such stake through a structured process.'
The bank is to invite interested parties to submit bids for its CA Immo shares. 'Given the early stage, the outcome of such process is uncertain and therefore currently unpredictable. Management will be supporting this process,' CA Immo said in a statement.