Disclosure of Inside Information Pursuant to Article 17 of Regulation (EU) No. 596/2014
Berlin, April 12, 2024 – ACCENTRO Real EstateAG (the “Company”) will recognize extraordinary and significant write-downs of its real estate holdings as part of the preparation of its consolidated financial statements for the 2023 fiscal year, based on independent appraisal reports. The reasons for these significant write-downs include not only the deteriorating situation in the real estate market—with a substantially reduced transaction volume—but also the high inflation rate, the ECB’s interest rate policy, and the very conservative valuation approach taken in the preparation and audit of the consolidated financial statements.
After the company had forecast consolidated revenue of EUR 100 to 120 million and consolidated EBIT of EUR 0 to 2 million in the consolidated financial statements for the 2022 fiscal year, it announced in an ad hoc announcement on August 29, August 2023 that a well-founded and reliable forecast for the 2023 fiscal year was temporarily not possible due to the continuing extremely tense market conditions and the unpredictable business environment. Following, among other things, the submission of the valuation reports regarding the extraordinary and significant impairment requirement in the range of EUR 50 to 60 million, the financial figures for fiscal year 2023 have become more concrete to the extent that consolidated revenue for fiscal year 2023 is expected to be in the high double-digit millions, and consolidatedEBIT is expected to be in the high double-digit negative millions. The company will publish the final financial results for the 2023 fiscal year in the form of the audited consolidated financial statements.
Another effect of the impairment of the real estate properties to the expected extent is that the restrictions on net financial liabilities set forth in the terms and conditions of the 2020/2026 Bonds (ISIN DE000A254YS5 / WKN A254YS) and the 2021/2029 Bond (ISIN DE000A3H3D51 / WKN A3H3D5) (collectively, the “Bond Terms”) cannot be met, which, subject to the other conditions set forth in the Bond Terms, constitutes grounds for a right of termination in each case. Against this backdrop, the Company’s Management Board will enter into negotiations with major bondholders in the near future. To this end, the Company will simultaneously commission an IDW-S 6 expert opinion.
Person Issuing the Announcement:
Thomas Eisenlohr, Head of Investor Relations
Tel.: +49 (0)30 887181272
eisenlohr@accentro.de
Berlin, April 12, 2024
The Executive Board: ACCENTRO Real Estate AG Kantstraße 44/45 D-10625 Berlin
ISIN: DE000A0KFKB3 / DE000A3H3D51 / DE000A254YS5
Stock Exchanges: Frankfurt Stock Exchange, Regulated Market (Prime Standard) / Luxembourg Stock Exchange
Investor Relations Contact:
Thomas Eisenlohr
ACCENTRO Real Estate AG
Kantstraße 44/45
10625 Berlin
Email: eisenlohr@accentro.de
Phone: +49 (0)30 88 71 81 272