Cromwell REIT is announcing a large acquisition of 3 different European properties portfolio for 384.4 € millions, and raising fresh capital with a new rights issue.
The trust is planning to acquire:
- A portfolio of 16 mostly office properties in the Netherlands, Finland and Poland for a total of 312.5 € millions, with a net initial yield of 6.2%
- A group of 4 French logistics properties in the greater Paris area, for 34.4 € million, with an initial net yield of 8.5%
- 2 office properties in Italy, for a price of 37.5 € million, with a net initial yield of 7.4%
Financing will be done through debt and a public rights issue of 224.1 € million, with 38 new units for 100 units held at 0.373 € per new unit.
Unit holders will get to vote on the plan at an EGM organized on November 15.