An Uruguayan group has emerged as the largest investor in TLG Immobiliën after buying one third of the German property firm which was IPOed by Lone Star on Friday.
An Uruguayan group has emerged as the largest investor in TLG Immobiliën after buying one third of the German property firm which was IPOed by Lone Star on Friday.
Montevideo-based securities dealer Mercantil Valores Agente de Valores took a total of 12.9 million shares in TLG representing 21% of the company's share capital.
TLG, which raised a total of €360 mln in the Initial Public Offering, place a total of 33.5 million shares to institutional investors at a price of €10.75 per share, representing the bottom end of expected price range.
TLG will receive net proceeds of approximately €95 mln from the operation, which is aimed at financing the growth of its portfolio. The offer price of €10.75 per TLG share gives the company a market capitalization of €659 mln.
US private equity group Lone Star is retaining a 40% stake in the company. It expected to raise around €450 mln from the listing, it said earlier this year.
Niclas Karoff, member of the management board, said the IPO is a 'milestone' for the company. 'The primary IPO proceeds will be deployed to execute on TLG’s growth strategy through accretive acquisitions and value-enhancing investments into our core portfolio,' he noted.
According to Peter Finkbeiner, member of the Management Board, shareholders will receive an 'attractive' dividend amounting to 70 to 80% of the group's annual funds from operations.
