DGAP-News: DO Deutsche Office AG / Key word(s): Forecast/Financing
DO Deutsche Office AG increases FFO guidance for 2015 from EUR 52
million to around EUR 54 million in the course of further improved
financing costs
28.09.2015 / 07:45
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Deutsche Office increases FFO guidance for 2015 from EUR 52 million to
around EUR 54 million in the course of further improved financing costs
Cologne - 28 September 2015. DO Deutsche Office AG ("Deutsche Office"
symbol: PMOX, ISIN: DE000PRME020) took advantage of the favorable interest
rate environment to repay swap contracts with a nominal value of around EUR
87.5 million ahead of schedule.
In addition, Deutsche Office has reduced the original fixed rates of
1.6575% by 121 basis points to 0.445% on swaps with a total volume of
approx. EUR 117 million.
"Due to the recent measures on the financing side, we reduced our average
financing cost from 3.3% to 2.9%. Overall, Deutsche Office has very
competitive financing terms and a conservative financing structure," says
Christof Okulla, CFO at Deutsche Office. "This is also underscored by the
attractive terms for financing the of the recently acquired office property
at Vaihinger StraÃe in Stuttgart. It was financed with a margin of 115
basis points for a 6 year term," Christof Okulla adds.
Deutsche Office expects that the latest optimization of its financing costs
will have a positive effect on the Funds from Operations for fiscal year
2015 amounting to approximately EUR 2 million, annualized at around EUR 4
million.
Against this backdrop, the Executive Board specifies guidance for fiscal
2015: Based on the existing portfolio, rental income from investment
properties is expected to remain unchanged at approx. EUR 107 million. Due
to improvements in the financial result, the Executive Board increases its
previous FFO forecast of EUR 52 million to around EUR 54 million for fiscal
year 2015. Plans to distribute 50 - 60% of FFO as dividend for fiscal 2015
remain unchanged.
Contact for corporate queries:
DO Deutsche Office AG
Richard Berg
Head of Investor Relations & Corporate Communications
Email rberg@deutsche-office.de
Telephone +49 (0)221 - 888 29 160
About Deutsche Office
Deutsche Office is a leading, SDAX index listed office property company,
focusing on German metropolitan regions and conurbations. As at 30 June
2015, its geographically diversified real estate portfolio currently
contains 49 properties held as investment properties, with a total rental
area of about 866,000 square meters and an attractive and broad tenant
base. As at 30 June 2015, the properties had a market value of about EUR
1.7 billion. Deutsche Office's business model is based on the
profit-oriented, active asset management of office properties in German
metropolitan regions, underpinned by investment to increase and to maintain
the value of the properties in the portfolio. The strategy includes the
acquisition of properties with potential for appreciation as well as
exploiting sales opportunities applied throughout the entire property cycle
in order to capitalise the appreciation achieved and to invest in new
properties.
Additional information on Deutsche Office is available online at:
http://deutsche-office.com
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28.09.2015 Dissemination of a Corporate News, transmitted by DGAP - a
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Language: English
Company: DO Deutsche Office AG
Maarweg 165
50825 Cologne
Germany
Phone: +49 (0)221 88829 100
Fax: +49 (0)221 88829 199
E-mail: info@deutsche-office.de
Internet: www.deutsche-office.de
ISIN: DE000PRME020
WKN: PRME02
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated
Unofficial Market in Berlin, Dusseldorf, Munich, Stuttgart
End of News DGAP News Service
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397805 28.09.2015
DGAP-News: DO Deutsche Office AG increases FFO guidance for 2015 from EUR 52 million to around EUR 54 million in the course of further improved financing costs
| Source: EQS Group AG