Successful capital increase for Helvetia (CH) Swiss Property Fund

Helvetia Asset Management has successfully completed the second capital increase for the Helvetia (CH) Swiss Property Fund in the amount of CHF 170 million. The capital increase was fully subscribed. The issue proceeds from the capital increase will be used for the acquisition of eight high-quality properties with a market value of CHF 229.5 million. Following the capital increase, the Helvetia (CH) Swiss Property Fund will be one of the largest non-listed real estate funds in Switzerland, with a market value of CHF 1,092.3 million. The fund management company is planning to list the fund on SIX Swiss Exchange in the first half of 2024.

23.03.2023 | Media release

The capital increase carried out for the Helvetia (CH) Swiss Property Fund between 7 and 22 March 2023 was fully subscribed, having met with strong interest among existing and new investors. The issue of the new units took place on a best-effort basis as part of a rights offering in Switzerland. There was no subscription rights trading during the subscription period. The considerable investor confidence in a challenging environment for indirect real estate investments testifies to the high quality of the investment vehicle and the competence of Helvetia Asset Management in the area of real estate.

With a subscription ratio of four to one (four subscription rights entitling the investor to acquire one new unit), 1,625,000 units were subscribed during the subscription period for existing and new investors, for a net issue price per unit of CHF 106. Payment of the new units will take place on 28 March 2023, with 8,125,000 units outstanding as of this date.

The capital increase produced proceeds of approximately CHF 170 million. These proceeds will be used by Helvetia Swiss Life Insurance Company Ltd to acquire a real estate portfolio with a market value of CHF 229.5 million and offering a broad level of geographical diversification and a high proportion of residential properties. Additional borrowings of approximately CHF 60 million will be used to finance the acquisitions for the portfolio. Thus, at 1 April 2023, the Helvetia (CH) Swiss Property Fund will have 47 properties with a market value of CHF 1,092.3 million (basis: independent appraisers as at 30 September 2022 for the existing portfolio and 1 December 2022 for the extended portfolio). The completed capital increase makes Helvetia (CH) Swiss Property Fund one of the largest non-listed real estate funds in Switzerland. The fund thus meets the requirements for being listed on SIX Swiss Exchange. This is planned for the first half of 2024.

Fund information

Name	Helvetia (CH) Swiss Property Fund
Security / ISIN	Security: 51383832 / ISIN: CH0513838323
Legal form	Contractual real estate fund under Swiss law
Fund domicile	Switzerland
Investor group	Limited to qualified investors pursuant to Art. 10 para. 3 CISA and Art. 10 para. 3ter CISA
Income use	distributed
Launch date	3 June 2020
Fund manager	Helvetia Asset Management Ltd, Basel
Portfolio management	Helvetia Asset Management Ltd, Basel
Custodian bank	Zürcher Kantonalbank, Zurich
Over-the-counter trading	Bank J. Safra Sarasin AG, Zurich
Audit firm	KPMG AG, Zurich
Valuation expert	Wüest Partner AG, Zurich

Contact information

Analysts
Philipp Schüpbach
Head of Investor Relations
Helvetia Group
Phone: +41 58 280 59 23
investor.relations@helvetia.ch

Media
Jonas Grossniklaus
Head of Corporate Communications
Helvetia Group
Phone: +41 58 280 50 33
media.relations@helvetia.ch

Further information

Media release (PDF)

Media releases overview

About Helvetia Asset Management Ltd

Helvetia Asset Management Ltd is regulated by the Swiss Financial Market Supervisory Authority, FINMA, and provides fund management and asset management services. It offers collective investment schemes and is an independent fund manager operating in the interests of its investors. The company also handles investment advice and asset management, client representation and transaction management for employee benefit institutions, namely for real estate portfolios. Helvetia Asset Management Ltd has its registered office in Basel, Switzerland, and is a wholly owned subsidiary of Helvetia Holding Ltd, St. Gallen, Switzerland.

Disclaimer

The real estate fund referred to in this media release is exclusively for qualified investors within the meaning of Art. 10 para. 3 and Art. 10 para. 3ter of the Swiss Federal Collective Investment Schemes Act (CISA). The information on the real estate fund is intended exclusively for advertising purposes and does not constitute legal, tax or financial advice, nor is it an offer or a recommendation to buy or sell investment instruments or other financial services or a solicitation or invitation to submit an offer. The sole binding basis for the purchase of or subscription to fund units is the fund agreement, including the appendix, and the latest annual report. These documents can be obtained free of charge from the fund manager, Helvetia Asset Management Ltd, Steinengraben 41, 4002 Basel, Switzerland, or the custodian bank, Zürcher Kantonalbank, Bahnhofstrasse 9, 8001 Zurich, Switzerland.