Grand City Properties S.A. is a real estate specialist focusing on investing in and managing turnaround opportunities in the German real estate property market. Since it was listed on the Frankfurt Stock Exchange in May 2012, the Luxembourg-based company has performed extremely well. IR.on AG has been in charge of the company’s capital market communication since mid-2013.
The company’s growth is supported primarily by the strongly increased real estate portfolio, which has almost tripled from 12,000 units at the end of 2012 to 31,000 today. Grand City Properties is highly profitable, which is not least reflected in the recently published figures for the first three months of 2014, according to which net income increased by 420% on the prior year quarter to approx. EUR 70 million.
The successful performance is also rewarded by the capital market. Since the IPO, the share, which is listed in the Entry Standard of the Frankfurt Stock Exchange, has gained over 50%. The company is meanwhile covered by six analyst houses, including Berenberg, Commerzbank and J.P. Morgan.
The successful capital measures of the past twelve months give evidence of the increased acceptance.
Grand City Properties has clearly gained in visibility since the IPO and made increased investments in building its reputation in the capital market. The successful capital measures of the past twelve months give evidence of the increased acceptance. These include a EUR 350 million corporate bond (incl. tap issue), a capital increase generating gross proceeds of EUR 175 million in autumn 2013 and, most recently, the issue of a EUR 150 million convertible bond, which was placed with European investors in February 2014. The confidence investors place in the property portfolio manager is not least attributable to the company’s consistently transparent financial reporting. Listed in the Entry Standard, the company voluntarily publishes quarterly reports and is one of the few companies in this segment, which have been rated by renowned rating agency Standard & Poor’s.