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CPI PROPERTY GROUP ANNOUNCES THE ISSUANCE OF NEW BONDS BY ITS CZECH SUBSIDIARY CPI BYTY, A.S.

DGAP-News: CPI PROPERTY GROUP / Key word(s): Bond CPI PROPERTY GROUP ANNOUNCES THE ISSUANCE OF NEW BONDS BY ITS CZECH SUBSIDIARY CPI BYTY, A.S. 10.05.2017 / 18:45 The issuer is solely responsible for the content of this announcement. CPI PROPERTY GROUP (société anonyme) 40, rue de la Vallée L-2661 Luxembourg R.C.S. Luxembourg: B 102 254 PRESS RELEASE Luxembourg, 10 May 2017 CPI PROPERTY GROUP ANNOUNCES THE ISSUANCE OF NEW BONDS BY ITS CZECH SUBSIDIARY CPI BYTY, A.S.

Today, CPI BYTY, a.s. issued the seventh and eighth tranche of secured bonds pursuant to its bonds programme. The seventh tranche, registered under ISIN code CZ0003516551, amounts to CZK 530 million, carries a fixed coupon of 1.85% and matures on 10 May 2019. The eight tranche, registered under ISIN code CZ0003516569, amounts to CZK 270 million, carries a fixed coupon of 2.25% and matures on 10 May 2019. The bonds are issued pursuant to Czech law and are secured by the residential portfolio of CPI BYTY, a.s. The prospectus, which was approved by the Czech National Bank on 3 May 2017 is available in electronic form at www.cpibyty.cz. The bonds will be listed on the Prague Stock Exchange. The issuance of CPI BYTY, a.s. bonds programme is arranged by Raiffeisenbank a.s.


On 5 May 2017 two maturing tranches of CPI BYTY, a.s. bonds, amounting to CZK 300 million and CZK 500 million, were repaid from equity.


Today's issuance reflects the immense market interest, which has significantly exceeded the total volume of the actual subscription amount. A major part of bondholders comes from institutional investors, who had invested with CPI PROPERTY GROUP previously, but bonds were also bought by banks' private clients. Bond issues have become the dominant method of financing of the business activities of CPI PROPERTY GROUP. Valuation of assets alongside the CPI PROPERTY GROUP's income increased considerably over recent years. The substantial interest in these new issues is an assertion of investors' trust in the strength and stability of CPI PROPERTY GROUP.