Franconofurt AG
Franconofurt AG: Business Performance
Franconofurt AG / Key word(s): Miscellaneous Franconofurt AG – Corporate News Update on business performance and outlook 2012 __Forward strategy The supervisory board has appointed Mr. Christian Wolf, one of the two founders of Franconofurt AG to the executive board as of January 2012 where he will be executive board member together with current board member Mr. Metehan Sen. Christian Wolf owns 33% of Franconofurt AG and is the major shareholder of the company. He will accelerate the expansion of the residential portfolio in Frankfurt so that current net group liquidity will be efficiently invested. In the last weeks the company has already acquired at attractive prices three multi-tenant houses in the best locations of Frankfurt with the intention to continue acquiring additional multi-tenant houses. __Major new shareholder and share buy back In the fourth quarter of 2011 a major German family office has acquired a stake of 14% in Franconofurt AG. Franconofurt AG will continue to buy back shares so that NAV will further increase on the remaining outstanding shares. Based on management assumptions the NAV (shareholders equity including hidden reserves) is around EUR 11 per share. The Franconofurt AG book value per share based on acquisition prices (i.e. at cost accounting) at EUR 1800 per square meter stands approx. at EUR 7,80 per share. __Operational performance at Opera One AG Opera One AG acts as the residential development unit of Franconofurt AG. In a short period of time the portfolio of development projects was increased to three of which one project was profitably sold as of end 2011. Opera One AG due to its comfortable equity and cash position is further looking to expand its business __Outlook 2012 Based on the successful fourth quarter and promising indications as of January / February this year Franconofurt expects to report again a profitable year 2012 especially when taking into account the current Euro-uncertainty and low interest rate environment which increases demand for multi-tenant apartments. __Upcoming events Franconofurt AG and Opera One AG will present their business models at the Frankfurt DVFA Real Estate Conference in Frankfurt on February 28, 2012. Non-audited results for the year 2011 will be published early March 2012. The AGM of Franconofurt AG will take place May, 8 2012 in Frankfurt Disclaimer: NAV per share is based on certain management assumptions which can prove wrong and thus negatively influence the expected NAV figure. This press release is no offer to buy or sell shares in Franconofurt AG. Forward looking statements can deviate from current expectations. Franconofurt AG is a stock exchange listed investment company. The company invests in high quality multi-tenant houses in Frankfurt and has an investment volume of currently EUR 50 million. Franconofurt AG has in the last five years successfully completed a transaction volume of EUR 700 million with the purchase and sale of residential real estate and related capital market transactions. Since its first listing in the year 2005 Franconofurt has paid a dividend in each year to its investors. End of Corporate News 14.02.2012 Dissemination of a Corporate News, transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP’s Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
Language: | English | |
Company: | Franconofurt AG | |
Rossmarkt 11 | ||
60311 Frankfurt am Main | ||
Germany | ||
Phone: | +49 (0)69 920 374 100 | |
Fax: | +49 (0)69 920 374 101 | |
E-mail: | sen@franconofurt.de | |
Internet: | http://www.franconofurt.de | |
ISIN: | DE0006372626 | |
WKN: | 637262 | |
Listed: | Freiverkehr in Berlin, Düsseldorf, Hamburg, München, Stuttgart; Entry Standard in Frankfurt | |
End of News | DGAP News-Service |
156616 14.02.2012 |