Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014 (Market Abuse Regulation)
VIB Vermögen AG concludes new syndicated loan agreement for around EUR 505 million and repays existing loans ahead of schedule
VIB Vermögen AG, Tilly-Park 1, 86633 Neuburg/Donau (Germany), February 28, 2023
VIB Vermögen AG, Neuburg/Donau (ISIN: DE000A2YPDD0), today concluded a new syndicated loan agreement for around EUR 505 million. The new financing, with a term of 7 years, replaces previous financing with a volume of around EUR 245 million for 45 commercial properties in the existing portfolio with an average remaining fixed-interest period of 3.5 years ahead of schedule. The expansion and restructuring of the credit facility provides VIB Vermögen AG with financial flexibility and better planning certainty.
The interest expense, which has an impact on the key performance indicator funds from operations (FFO*) in 2023 and subsequent years, will increase by around EUR 17 million annually against the backdrop of the increased interest rate level and the agreed conditions, which will be almost offset by the elimination of around EUR 15 million p.a. in regular repayments. In addition, the interest rate hedging in the context of the refinancing will result in non-FFO-effective one-off expenses of around EUR 10.6 million. The refinancing will increase the average term of all financial liabilities from 4.5 years as of 31 December 2022 to 6.0 years.
The most recently published guidance for the 2023 financial year is not affected by this.
The Managing Board
VIB Vermögen AG
* Explanation: FFO is the abbreviation for Funds from Operations, the operating result from real estate management before depreciation, taxes, profits from sales and development projects as well as other non-recurring or non-cash income components.
VIB Vermögen AG
Tel.: + 49 (0)8431 9077-961
Fax: + 49 (0)8431 9077-1961
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Insofar as this publication contains forward-looking statements, these do not represent facts and are identified by the words "will", "expect", "believe", "estimate", "intend", "aim", "assume" and similar formulations. These statements express intentions, views or current expectations and assumptions of the VIB Vermögen AG and the persons acting jointly with it. The forward-looking statements are based on current plans, estimates and forecasts which the VIB Vermögen AG and the persons acting jointly with it have made to the best of their knowledge, but do not make any statement about their future correctness. Forward-looking statements are subject to risks and uncertainties that are mostly difficult to predict and are usually not within the sphere of influence of the VIB Vermögen AG or the persons acting jointly with it. It should be taken into account that the actual results or consequences may differ significantly from those stated or contained in the forward-looking statements. The VIB Vermögen AG does not assume any obligation to update such forward-looking statements or to adjust them to future events or developments.
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