Fresh after having emerged from insolvency, Germany's IVG Immobilien has announced that it has concluded extensive refinancing for a total of €1.5 bn with Deutsche Bank as its partner.
Fresh after having emerged from insolvency, Germany's IVG Immobilien has announced that it has concluded extensive refinancing for a total of €1.5 bn with Deutsche Bank as its partner.
As a result, the remaining bank liabilities of the company and its equity investments have been comprehensively restructured, Bonn-based IVG said in a statement.
A series of various loan facilities and individual liabilities of the company to banks have been converted into two new loan agreements. Deutsche Bank is the sole contractual partner in the two agreements.
'The company has strong capital resources following the successful conclusion of the refinancing,' commented Ralf Jung, CEO of IVG Immobilien AG. 'This is a solid foundation from which to play a leading role in the market for office property in Germany once again.'
With a current portfolio of around €3.5 bn, IVG Immobilien is Germany’s largest portfolio manager for office property. In future, the company will focus on actively managing its own portfolio through acquisitions and disposals, and on optimising and running its own properties on a needs-driven basis.
Under the successful financial restructuring with the conversion of receivables into holdings in the company (debt-to-equity swap), IVG Immobilien has received fresh equity of around €1.8 bn. At the same time, IVG Immobilien’s debt was reduced by around €2.2 bn.
IVG Immobilien’s legal advisor in the negotiation and implementation of its refinancing concept was Freshfields Bruckhaus Deringer. Its financial advisor was Rothschild.
