Foncière des Murs (FdM) has signed a purchase agreement with the B&B group for a portfolio of hotels, representing 1,980 rooms, for a price of EUR 85 mln, including fees. The portfolio consists of hotels located in France and Germany, in use and under development.
Foncière des Murs (FdM) has signed a purchase agreement with the B&B group for a portfolio of hotels, representing 1,980 rooms, for a price of EUR 85 mln, including fees. The portfolio consists of hotels located in France and Germany, in use and under development.
The transaction will include the signing of leases with fixed triple net rents for a duration of 12 years in France and 20 years in Germany. With the creation of this partnership, FdM intends to support B&B in its future developments.
To finance the acquisition, FdM intends to carry out a capital increase of around EUR 100 mln in the near future, the company said in a press release. Its main shareholders, Foncière des Régions, Prédica, Pacifica, Generali Vie, Cardif Assurance Vie and ACM Vie representing over 90% of its capital base, have expressed their intention to subscribe up to the level of their respective shareholdings.
Foncière des Régions has also indicated its intention to take up the shares which are not subscribed. The operation is aimed at strengthening FdM's financial capability and funding acquisitions, including the earlier purchase of Accor hotels with Prédica.
FdM, a subsidiary of Foncière des Régions, is a French listed real estate investment trust (SIIC) specialised in business premises, especially in the hotel, restaurant, health and leisure sectors.
