The capital increase carried out for the Helvetia (CH) Swiss Property Fund between 7 and 22 March 2023 was fully subscribed, having met with strong interest among existing and new investors. The issue of the new units took place on a best-effort basis as part of a rights offering in Switzerland. There was no subscription rights trading during the subscription period. The considerable investor confidence in a challenging environment for indirect real estate investments testifies to the high quality of the investment vehicle and the competence of Helvetia Asset Management in the area of real estate.
With a subscription ratio of four to one (four subscription rights entitling the investor to acquire one new unit), 1,625,000 units were subscribed during the subscription period for existing and new investors, for a net issue price per unit of CHF 106. Payment of the new units will take place on 28 March 2023, with 8,125,000 units outstanding as of this date.
The capital increase produced proceeds of approximately CHF 170 million. These proceeds will be used by Helvetia Swiss Life Insurance Company Ltd to acquire a real estate portfolio with a market value of CHF 229.5 million and offering a broad level of geographical diversification and a high proportion of residential properties. Additional borrowings of approximately CHF 60 million will be used to finance the acquisitions for the portfolio. Thus, at 1 April 2023, the Helvetia (CH) Swiss Property Fund will have 47 properties with a market value of CHF 1,092.3 million (basis: independent appraisers as at 30 September 2022 for the existing portfolio and 1 December 2022 for the extended portfolio). The completed capital increase makes Helvetia (CH) Swiss Property Fund one of the largest non-listed real estate funds in Switzerland. The fund thus meets the requirements for being listed on SIX Swiss Exchange. This is planned for the first half of 2024.
|Name||Helvetia (CH) Swiss Property Fund|
|Security / ISIN||Security: 51383832 / ISIN: CH0513838323|
|Legal form||Contractual real estate fund under Swiss law|
|Investor group||Limited to qualified investors pursuant to Art. 10 para. 3 CISA and Art. 10 para. 3ter CISA|
|Launch date||3 June 2020|
|Fund manager||Helvetia Asset Management Ltd, Basel|
|Portfolio management||Helvetia Asset Management Ltd, Basel|
|Custodian bank||Zürcher Kantonalbank, Zurich|
|Over-the-counter trading||Bank J. Safra Sarasin AG, Zurich|
|Audit firm||KPMG AG, Zurich|
|Valuation expert||Wüest Partner AG, Zurich|