EQS-News

Branicks Group AG: Operationally successful in a challenging 2023 financial year

EQS-News: Branicks Group AG / Key word(s): Real Estate/Annual Report Branicks Group AG: Operationally successful in a challenging 2023 financial year 30.04.2024 / 07:00 CET/CEST The issuer is solely responsible for the content of this announcement. Branicks Group AG: Operationally successful in a challenging 2023 financial year

 

Press release

Branicks Group AG: Operationally successful in a challenging 2023 financial year

• Targets for 2023 largely achieved 
• Financing secured
• Many new lettings continue at good conditions
• New renewables asset class

Branicks Group AG (Branicks), ISIN: DE000A1X3XX4, today published its annual and consolidated financial statements for 2023 with an unqualified audit opinion. In a challenging environment, the 2023 financial year was concluded operationally successful and largely in line with the forecast.

The operational letting business again developed very positively in both major asset classes. By contrast, the recovery in the transaction business, which was originally expected in the market, did not materialize and was flat throughout the year. 

Assets under management as the sum of the existing portfolio and assets managed by Branicks as part of the Institutional Business amounted to EUR 13.2 billion at the end of the financial year (2022: EUR 14.7 billion). The decline is the result of sales and a valuation effect of -6.0%.

Branicks reorganized its financial structures in 2023 and in the first months of the 2024 financial year, putting its financing on a reliable footing for the coming years. The halving of the bridge financing for the acquisition of VIB Vermögen AG and the scheduled repayment of the 2018/2023 corporate bond contributed to this in the 2023 reporting year. At the end of the first quarter of 2024, Branicks reached agreements with its creditors on the repayment of a further partial amount of EUR 40 million of the VIB bridge financing and on a restructuring plan based on corporate planning audited by independent experts regarding the timing of the repayment of promissory note loans originally due in 2024 and the remaining VIB bridge financing. This has paved the way for a sustainable, financially stable future for the company.