TAG Immobilien AG: TAG acquires approximately 420 residential units in Chemnitz by means of capital increase against contribution in kind - 859,339 new shares at EUR 8.25 per share

TAG Immobilien AG  / Key word(s): Capital Increase

25.10.2011 14:19

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TAG Immobilien AG ('TAG' in the following) today acquired a residential
complex with approximately 420 units. With this acquisition, TAG further
expands the core of its portfolio in the German state of Saxony. The
property has total rental space of around 32,000 m² and generates yearly
rents of approximately EUR 1.8 million. The residential complex was
elaborately modernised in the years 2001 to 2003 and is well rented, with
vacancy at roughly 3.7 percent. The properties will be managed and overseen
by the TAG office in Leipzig in the future.

The purchase price underlying the transaction is EUR 23.75 million, to be
covered by the assumption of liabilities on the one hand, and the issuance
of new shares at EUR 8.25 per share on the other. Therefore, the Management
Board has decided, based on the capital authorised by the General Meeting
on 7 April 2011 and subject to approval by the Supervisory Board, to issue
859,339 new shares in return for the shares in the property company and to
issue a shareholder loan. The statutory subscription rights of shareholders
were excluded in this capital increase against contribution in kind. Once
the capital increase is entered in the company register, which is scheduled
to take place before the end of 2011, the company's share capital will
increase accordingly. The acquisition of company shares in the target
company is subject to the entry of the capital increase in the company
register.

Overall the acquisition will increase the TAG Group's residential real
estate holdings, once all currently pending binding acquisitions have been
completed, to more than 30,700 units.

Kontakt:
TAG Immobilien AG
Investor und Public Relations 
Britta Lackenbauer / Dominique Mann
Tel. +49 (0) 40 380 32 -386 / -305
Fax +49 (0) 40 380 32 390
ir@tag-ag.com







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Language:     English
Company:      TAG Immobilien AG
              Steckelhörn 5
              20457 Hamburg
              Germany
Phone:        040 380 32 300
Fax:          040 380 32 390
E-mail:       ir@tag-ag.com
Internet:     www.tag-ag.com
ISIN:         DE0008303504
WKN:          830350
Indices:      SDAX
Listed:       Regulierter Markt in Frankfurt (Prime Standard), München;
              Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover,
              Stuttgart
 
End of Announcement                             DGAP News-Service
 
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