DIC Asset AG: EUR 100 million promissory note issued

Press release

DIC Asset AG: EUR 100 million promissory note issued

• Prior investors back on board
• Strong sign of confidence in the strategy of DIC
• New issue includes ESG link
• Average interest coupon of 3.56%
• Average maturity 3.6 years

Frankfurt am Main, 29 July 2022. DIC Asset AG (“DIC”), ISIN: DE000A1X3XX4, one of Germany’s leading listed property companies, just completed the placement of additional promissory note tranches in a volume of EUR 100.0 million. Once again, an ESG link was integrated in the new note issued, meaning a mechanism that ties the interest rates to reliably measurable sustainability metrics.

“We are pleased to see that our investors continue to put faith in our clear-cut strategy. On the one hand, this includes our growth. On the other hand, it is also part of our strategy to tie our growth to the consistent implementation of our ESG targets. We intend to keep expanding our percentage of ‘green’ financing arrangements in the years ahead, and we have our investors’ commitment to pursue this approach. We are well aware of the challenges of our day and age, we live up to our responsibility to help shape the future, and we are reliably creating value for all of our stakeholders,” commented Sonja Wärntges, CEO of DIC.

The weighted average maturity of the new three- and five-year tranches is 3.6 years, while the weighted annual average interest rate is 3.56%. The promissory note tranches were placed with institutional investors inside and outside Germany, the majority of whom already participated in previous DIC placements. On the whole, the issue was heavily oversubscribed.

Here is how the integrated ESG link works: If, for instance, the share of green buildings held in the existing property portfolio of DIC were to drop below 15% before the end of 2023 (among other measurement dates), the interest rate for the subsequent interest rate period would decline by 5 basis points. If the ratio stayed anywhere between 15% and 20%, the rate would remain unchanged, and it would increase by 5 basis points if the ratio exceeded 20%.

Banks facilitating the transaction include Bayerische Landesbank (“Bayern LB”) and Landesbank Hessen-Thüringen (“Helaba”).

About DIC Asset AG:

DIC Asset AG is Germany’s leading listed specialist for office and logistics real estate with more than 20 years of experience on the real estate market and access to a broad-based network of investors. Our business is based on a regional and inter-regional real estate platform with nine offices on the ground in all major German markets (with VIB Vermögen AG included). We manage a pro-forma total of 349 assets with a combined market value of EUR 13.8 billion on site, always close to our properties and their occupiers.

The Commercial Portfolio segment comprises real estate held for our own account. Here, we generate steady cash flows from stable rent revenues on long-term leases while also optimising the value of our portfolio assets through active management, and realising gains from sales.

In the Institutional Business segment, we earn recurrent fees from real estate services we provide to national and international institutional investors by structuring and managing investment products that return attractive dividend yields.

DIC Asset AG has been SDAX-listed since June 2006.

IR/PR Contact DIC Asset AG:
Peer Schlinkmann
Head of Investor Relations & Corporate Communications
Neue Mainzer Str. 20 • MainTor Primus

D-60311 Frankfurt am Main
T +49 69 9454858-1492
ir@dic-asset.de