DGAP-News

Aareal Bank enters into strategic partnership with UK based servicing company Mount Street

DGAP-News: Aareal Bank AG / Key word(s): Investment Aareal Bank enters into strategic partnership with UK based servicing company Mount Street (news with additional features) 15.02.2017 / 09:59 The issuer is solely responsible for the content of this announcement. Aareal Bank enters into strategic partnership with UK based servicing company Mount Street Wiesbaden, 15 February 2017 - Aareal Bank AG has signed a Letter of Intent for a strategic partnership with the pan-European loan servicing firm Mount Street. The London-based company specialises in the servicing and credit management for commercial property in particular. The aim of this strategic partnership is to support Aareal Bank's credit and syndication processes - and thus further growth - particularly in the syndication business with banks and insurance companies with the help of Mount Street products. Within the scope of this strategic partnership it has also been agreed that Aareal Bank Group will examine the use of the innovative credit management software CLC (Clareti Loan Control) at Group level. Mount Street has developed CLC together with Gresham Technologies plc and actively uses the software itself. Mount Street and Aareal Bank expect the demand for services in the areas of credit management and servicing in Europe to increase markedly in the coming years. Within the framework of the strategic partnership, and with the support of Aareal Bank, Mount Street intends to leverage the potential resulting from this development and plans to further expand its business relationships in the banking and insurance sectors. Mount Street was chosen for this important strategic partnership because of its market-leading credentials, professionalism, and the commitment shown to working with Aareal Bank on aforementioned matters. To underpin this strategic partnership, Aareal Bank will take a 20 per cent stake in Mount Street. The majority of the company will be owned by Mount Street's management. The parties have agreed not to disclose financial terms of the transaction. The transaction itself only marginally affects Aareal Bank's financial position.