COLOGNE (dpa-AFX) - TAG Immobilien AG said that it signed an investment agreement to buy 100% of the shares in Vantage Development S.A. with a simultaneous carve-out of its commercial real estate business which will be repurchased by the selling shareholders.
Based on a tender offer price of PLN 11.50 per share, the total transaction consideration amounts to 131 million euros, of which 46 million euros relate to the commercial real estate business unit.
As a result, the total net consideration for TAG amounts to 85 million euros for the residential business and platform of Vantage Development. The total transaction consideration will be fully paid by TAG's existing cash.
The company expects to close the transaction in the first-quarter of 2020. After completion of the transaction, the company plans to delist Vantage Development's shares, currently listed on the Warsaw Stock Exchange.
Vantage Development is a real estate developer focused on the economically strong region of Wroclaw in the western part of Poland with proven track record of more than 4,000 units completed and delivered.
Copyright RTT News/dpa-AFX