Stock exchange release, Insider information, 3 July, at 6:40 p.m.
Toivo Group Plc ("Toivo" or the "Company") has signed sale agreements with Belgian company Cofinimmo SA ("Cofinimmo", "Buyer") for two care properties under construction. One of the properties is located in Rovaniemi and is expected to be completed during Q4 of 2026. The other is located in Järvenpää and is expected to be completed in Q4 of 2025. Both properties have been leased to Esperi Care Oy under 15-year agreements. The total value of the sale agreement is approximately EUR 11 million, based on a yield requirement of approximately 7%. The buyer is responsible for financing during the construction period.
In addition, Toivo has signed a letter of intent with Cofinimmo regarding the development and sale of several similar properties in the future. Separate negotiations will be held for each property, and their realization is subject to the usual uncertainties associated with real estate transactions. The total estimated value of the projects under the letter of intent is approximately EUR 20-40 million, assuming that all projects are realized, with expected implementation during the years 2025-2027.
Jean-Pierre Hanin, CEO of Cofinimmo: "With these two new development projects in Finland, not only do we continue to actively participate in the expansion and renewal of the healthcare infrastructure in Europe, but we also strengthen our partnership with Esperi Care Oy, which was initiated in 2021. Alongside these initial acquisitions, we have also secured a further pipeline under exclusivity with the listed construction and development company Toivo Group Oyj.
"Initiating cooperation with Cofinimmo, a well-known company specializing in healthcare real estate, marks a milestone in Toivo's social infrastructure business and demonstrates our ability to serve professional international real estate investors. Cofinimmo is listed on Euronext Brussels and holds a healthcare real estate portfolio totaling approximately EUR 4.6 billion. We are excited to build the Rovaniemi and Järvenpää properties for Cofinimmo and to jointly develop new similar projects," says Markus Myllymäki, CEO of Toivo Group.
The completed transactions and the letter of intent are not expected to have an impact on the financial guidance for 2025.
Toivo Group Plc
Further information
Markus Myllymäki
CEO
Toivo Group Plc
Tel. +358 (0)40 847 6206
markus.myllymaki@toivo.fi
About Toivo
Toivo is a Finnish real estate company that was founded in 2015. Its business consists of project development and long-term ownership of apartments. The Company's business model is unique as Toivo's business combines the value chain of real estate business from development and construction to ownership, management and rental of a completed property. Toivo manages the entire life cycle of properties with its own team, from raw land development to tenancy agreement negotiations and property maintenance. This way Toivo is able to generate additional value to its customers, shareholders and stakeholders.
Toivo's strategy is to develop properties in accordance with the Toivo concept. The properties aim for a strong development margin and a stable and attractive return, and in this way enable long-term ownership and the generation of higher additional value to Toivo's customers. Toivo has a knowledgeable and experienced team of experts with strong merits in the real estate business. The members of Toivo's team have been involved in the development and construction of over 17,000 apartments, and they have an average of ten years of experience in the real estate business.
Toivo's revenue in 2024 was EUR 39,8 million and its operating profit was EUR 4,5 million.
