DGAP-News: VIB Vermögen places promissory note loan in the amount of EUR 42.5 million

Corporate news

VIB Vermögen places promissory note loan in the amount of EUR 42.5 million

- Issue proceeds to fund further growth at the company

- Average interest rate for the total volume stands at a very attractive 1.03 per cent

Neuburg/Danube, April 2, 2019 - VIB Vermögen AG, a company specialising in the development, acquisition and portfolio management of commercial properties, has placed a promissory note loan in the amount of EUR 42.5 million. The envisaged issue volume originally stood at EUR 30.0 million and was successfully increased to EUR 42.5 million due to strong investor demand. VIB Vermögen AG will use the proceeds to fund its further project-based growth.

The promissory note was offered in conjunction with the banks BayernLB and Kreissparkasse Biberach in two fixed-term tranches. The first tranche is worth EUR 18.5 million and has a term of eight years. The second tranche amounts to EUR 24 million and has a term of five years. With an average interest rate of 1.03 per cent, the promissory note loan contributes to the optimum financing mix on the debt financing side.

"The success of our company is, to a considerable degree, based on sustainable financing. Promissory note loans are flexible and represent the perfect complement to traditional annuity loans. We were able to secure the highly attractive interest rate by virtue of our solid financing structure and the relations with our banking partners that we have nurtured over many years. At the same time, we are delighted with the trust placed in our company by the underwriters of the promissory note loan", explains Holger Pilgenröther, Chief Financial Officer of VIB Vermögen AG.

Contact

Investor Relations:

VIB Vermögen AG
Petra Riechert Tel.: + 49 (0)8431 9077-952
Tilly-Park 1 Fax: + 49 (0)8431 9077-929
86633 Neuburg/Donau E-Mail: petra.riechert@vib-ag.de

About VIB Vermögen AG

VIB Vermögen AG is a medium-sized company specialising in commercial real estate management that has been operating successfully for 25 years. The company focuses on properties from the logistics/light industry and retail sectors in the economically strong southern German region. VIB's shares have been listed on the Munich (m:access) and Frankfurt (Open Market) stock exchanges since 2005.

VIB's business model is based on a "develop-or-buy-and-hold" strategy. Firstly, VIB acquires properties that are already rented. Secondly, it completely develops new properties in order to transfer them to its own portfolio on a long-term basis and generate rental income from them. VIB also holds investments in companies with real estate assets.