IVG Immobilien AG receives Anti-trust approval for takeover of Polar

Following the granting of approval by the German, European and Finnish anti-trust authorities, IVG Immobilien AG exercised its right to acquire 71.42% of the Polar Real Estate Corporation on 31 October 2003. The shares were acquired from the former major shareholders in the company, UPM Kymmene, Nordea, Kone and Wärtsilä, at a price of €0.75 per share, a total of €96.4 million.

In view of further share purchases on the stock exchange, IVG currently owns more than 76% of the shares in Polar.

IVG will present a purchase offer to the remaining shareholders of Polar for their shares between 7 November 2003 and 8 December 2003. The purchase price of €0.75 per share will be the same price paid to the major shareholders. The purchase offer is approximately 25% above the weighted average price for the last twelve months.

Polar’s real estate portfolio, which amounts to approximately €350 million (260,000 m² of rented floor space) comprises 60% office real estate and 40% shopping centres in attractive locations. In addition, Polar owns real estate in Helsinki with development reserves for more than 200,000 m² gross surface area. Around 70% of the 38 properties owned by Polar are located in Helsinki. 95 % of the portfolio is leased. Polar’s sales in 2002 amounted to €61.9 million, and the net income for the year was €28.9 million.

IVG administers a real estate portfolio of around €6 billion and is currently developing a pro rate project development volume of €1 billion. The company is concentrating its investments in Europe’s major capitals and growth centres.

Source: IVG

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