Luxembourg-based investor Corestate Capital expects its net income to rise roughly 20% next year as a result of consolidation as well as ‘a tangible identified acquisition pipeline of €4.9 bn’.
The fast-growing company, which is currently in the process of integrating recently acquired Helvetic Financial Services and Hannover Leasing Group, said it expects net income to reach €110 mln next year, up from an expected €85-90 mln in 2017.
‘The positive outlook for 2018 is based on the impact of full-year consolidation of the newly acquired companies, bindingly and non-bindingly committed further fund inflows and a tangible identified acquisition pipeline of €4.9 bn, resulting in a larger fee generating AUM base and an increase in recurring revenues,’ Corestate said in a statement.
Corestate expects aggregate revenues and gains of at least €230 mln next year, while adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) is expected to come in at at least €145 mln. Approximately 85%-90% of expected aggregate revenues and gains is forecast to originate from recurring fee income, a significant increase from previous years, the company added.
In addition, Corestate said it intends to list its shares on the regulated market segment of the Frankfurt stock exchange later this year.
The company, which went public in October 2016, said the Prime Standard listing is expected ‘to enhance the visibility and marketability of the company's shares, enabling them to be included in selected stock indices’.
Corestate has €20 bn of assets under management when Hannover Leasing is included.
