Company Announcements

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THIS ANNOUNCEMENT IS FOR INFORMATION PURPOSES ONLY AND IS NOT AN OFFER OF SECURITIES IN ANY JURISDICTION.

AD-HOC RELEASE

Disclosure of an inside information pursuant to Article 17 MAR of the Regulation (EU) No 596/2014

TAG Immobilien AG resolves to launch cash capital increase and tap issue of convertible bonds due 2031

Hamburg, 19 August 2025

The Management Board of TAG Immobilien AG ("TAG" or the "Company") resolved today, with the approval of the Supervisory Board, to concurrently launch a capital increase against cash contribution (the "Capital Increase") and a tap offering of senior unsecured convertible bonds due 2031 in an aggregate principal amount of around EUR 98 million (the "New Bonds").

Capital Increase

In connection with the Capital Increase, the registered share capital of TAG will be increased through the issuance of up to 12,478,291 new no-par-value ordinary bearer shares, each with a notional value of EUR 1.00 in the Company’s share capital (the "New Shares"). This represents up to 7.1% of the Company’s existing share capital. The Capital Increase will be executed against cash contributions through partial utilization of the Authorized Capital 2025 and under exclusion of shareholders’ subscription rights. The placement price per New Share will be determined on the basis of an accelerated bookbuilding procedure. The New Shares will carry full dividend rights as of 01 January 2025.

The share placement will be launched with immediate effect following publication of this announcement, and the New Shares will be solely offered to institutional investors. The New Shares will be admitted to trading on the regulated market (regulierter Markt) without a prospectus and included in the existing quotation for the Company's shares in the sub-segment of the regulated market with additional post-admission obligations (Prime Standard) on the Frankfurt Stock Exchange on or around 25 August 2025.

Issue of New Bonds

The New Bonds will be convertible into new and/or existing ordinary bearer shares of TAG. The subscription rights of the Company’s shareholders (Bezugsrechte) will be excluded. The New Bonds will be issued on the same terms (save for the issue date and issue price) as the EUR 332 million convertible bonds due 2031 issued by TAG on 11 March 2025 (the "Original Bonds") and will be consolidated and form a single series (Gesamtemission) with the Original Bonds from their date of issue.

The final issue price of the New Bonds (which will be no less than 100% of par) will be determined on the basis of an accelerated bookbuilding procedure. Settlement is expected to take place on or around 27 August 2025 and inclusion of the New Bonds to trading on the open market segment (Freiverkehr) of the Frankfurt Stock Exchange is expected shortly thereafter.

The New Bonds will be offered only to institutional investors in certain jurisdictions outside the United States via a private placement.

Concurrent Delta Placement

TAG has been further advised by the Joint Global Coordinators that concurrently with the offering of the New Bonds the Joint Global Coordinators intend to organize a simultaneous placement of existing shares of the Company in short sales to facilitate hedging for certain subscribers of the New Bonds (the "Delta Placement", and together with the Capital Increase the "Concurrent Accelerated Bookbuilding"), at a placement price that has been determined via the Concurrent Accelerated Bookbuilding, to purchasers procured by the Joint Global Coordinators, on behalf of certain subscribers of the New Bonds. TAG will not receive any proceeds from any sale of shares in connection with the Delta Placement.

Use of Proceeds

The Company intends to use the net proceeds from the Capital Increase and the issue of the New Bonds, on the backdrop of the cash to be used for the acquisition of the Resi4Rent portfolio in Poland, for partial re-financing as well as for general corporate purposes.

The final terms of the Bonds are expected to be announced later today through a separate ad hoc release. 

As part of the Capital Increase and the issue of the New Bonds, the Company has agreed to a lock-up period of 90 days, subject to customary exceptions.

 

Contact

TAG Immobilien AG

Dominique Mann

Head of Investor Relations & Public Relations

Phone: +49 (0) 40 380 32-300

ir@tag-ag.com

 

Important notice

This announcement and the information contained herein is restricted and may not be published, distributed or released, directly or indirectly, in the United States of America (including its territories and possessions) ("United States" or "U.S."), Australia, Canada, Japan, South Africa or any other jurisdiction where such publication, distribution or release would be unlawful. The publication, distribution or release of this announcement may be restricted by law in certain jurisdictions and persons who are in possession of this document or other information referred to herein should inform themselves about and observe any such restrictions. Further, this announcement is for information purposes only and is not an offer of, or a solicitation of an offer to purchase, sell or subscribe for, securities in any jurisdiction. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction. This announcement has not been approved by the Frankfurt Stock Exchange.

This announcement and the and does not constitute an offer of, or a solicitation of an offer to purchase, sell or subscribe for, any securities of the Company or of any of its subsidiaries in the United States, Australia, Canada, Japan, South Africa or any other jurisdiction in which offers of, or a solicitation of an offer to purchase, sell or subscribe for, securities would be prohibited by applicable law. Neither this announcement nor anything contained herein shall form the basis of, or be relied upon in connection with, an offer or offer to purchase, sell or subscribe in any jurisdiction. The securities described in this announcement (the "Securities") will not be and have not been registered under the U.S. Securities Act of 1933, as amended (the "Securities Act"), or with any securities regulatory authority of any state or other jurisdiction of the United States and may not be offered, sold, pledged, taken up, exercised, resold, renounced, transferred or delivered, directly or indirectly, in or into the United States, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in compliance with any applicable securities laws of any state or other jurisdiction of the United States. The Securities have not been approved, disapproved or recommended by the U.S. Securities and Exchange Commission, any state securities commission in the United States or any other U.S. regulatory authority, nor have any of the foregoing authorities passed upon or endorsed the merits of the offering of the Securities. No public offering of, or solicitation of an offer to purchase, sell or subscribe for, securities of the Company is being made in the United States or any such other jurisdiction.

No reliance may be placed for any purpose on the information contained in this announcement or its accuracy or completeness. No prospectus will be prepared in connection with the private placement of the Securities. The Securities may not be offered, and no solicitation of an offer to purchase, sell or subscribe for, such Securities may be made, to the public in any jurisdiction in circumstances which would require the preparation or registration of any prospectus or offering document relating to the Securities in such jurisdiction.

In the United Kingdom ("UK"), this announcement is only directed at "qualified investors" within the meaning of Regulation (EU) 2017/1129 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 (the "EUWA"), who (i) are investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (as amended) (the "Order") or (ii) are persons falling within Article 49(2)(a) to (d) of the Order (high net worth companies, unincorporated associations, etc. (all such persons together being referred to as "Relevant Persons")). This document must not be acted on, or relied upon, by persons who are not Relevant Persons. Any investment or investment activity to which this document relates is available only to Relevant Persons and will be engaged in only with Relevant Persons.

In member states of the European Economic Area ("EEA"), this announcement is directed exclusively at persons who are "qualified investors" within the meaning of Regulation (EU) 2017/1129, as amended.

Solely for the purposes of the product governance requirements contained within: (a) EU Directive 2014/65/EU on markets in financial instruments, as amended ("MiFID II"); (b) Articles 9 and 10 of Commission Delegated Directive (EU) 2017/593 supplementing MiFID II; and (c) local implementing measures (together, the "MiFID II Product Governance Requirements"), and disclaiming all and any liability, whether arising in tort, contract or otherwise, which any "manufacturer" (for the purposes of the MiFID II Product Governance Requirements) may otherwise have with respect thereto, the Securities have been subject to a product approval process, which has determined that: (i) the target market for the Securities is eligible counterparties and professional clients, and additionally for the New Shares only, retail investors, each as defined in MiFID II; and (ii) all channels for distribution of the Securities to eligible counterparties and professional clients are appropriate. Any person subsequently offering, selling or recommending the Securities (a "distributor") should take into consideration the manufacturer's target market assessment; however, a distributor subject to MiFID II is responsible for undertaking its own target market assessment in respect of the Securities (by either adopting or refining the manufacturer's target market assessment) and determining appropriate distribution channels. The target market assessment is without prejudice to the requirements of any contractual or legal selling restrictions in relation to any offering of the Securities. For the avoidance of doubt, the target market assessment does not constitute: (a) an assessment of suitability or appropriateness for the purposes of MiFID II; or (b) a recommendation to any investor or group of investors to invest in, or purchase, or take any action whatsoever with respect to the Securities.

The Securities are not intended to be offered, sold or otherwise made available to and should not be offered, sold or otherwise made available to any retail investor in the EEA or the UK. For these purposes, a "retail investor" means (a) in the EEA, a person who is one (or more) of: (i) a retail client as defined in point (11) of Article 4(1) of MiFID II; (ii) a customer within the meaning of Directive (EU) 2016/97 (as amended, the "Insurance Distribution Directive"), where that customer would not qualify as a professional client as defined in point (10) of article 4(1) of MiFID II, and (b) in the UK, a person who is one (or more) of (i) a retail client within the meaning of Regulation (EU) no 2017/565 as it forms part of UK domestic law by virtue of the EUWA or (ii) a customer within the meaning of the provisions of the Financial Services and Markets Act 2000 of the UK (the "FSMA") and any rules or regulations made under the FSMA to implement Directive (EU) 2016/97, where that customer would not qualify as a professional client, as defined in point (8) of Article 2(1) of regulation (EU) No 600/2014 as it forms part of UK domestic law by virtue of the EUWA.

Consequently, no key information document required by Regulation (EU) No 1286/2014 (the "EU PRIIPs Regulation") or the EU PRIIPS Regulation as it forms part of UK domestic law by virtue of the EUWA (the "UK PRIIPS Regulation") for offering or selling the Securities or otherwise making them available to retail investors in the EEA or the UK has been prepared and therefore offering or selling the Securities or otherwise making them available to any retail investor in the EEA or the UK may be unlawful under the EU PRIIPs Regulation and/or the UK PRIIPS Regulation.

No action has been taken that would permit an offering or an acquisition of, or a solicitation of an offer to purchase, sell or subscribe for, the Securities or a distribution of this announcement in any jurisdiction where such action would be unlawful. Persons into whose possession this announcement comes are required to inform themselves about and to observe any such restrictions.

This announcement does not constitute a recommendation or advice concerning the placement of, or invitation to submit any offer to purchase, sell or subscribe for, any Securities. Investors should consult a professional advisor as to the suitability of the placement of, or invitation to submit any offer to purchase, sell or subscribe for, any Securities for the person concerned.

This announcement may contain forward looking statements, estimates, opinions and projections with respect to anticipated future performance of the Company ("forward-looking statements"). These forward-looking statements can be identified by the use of forward-looking terminology, including the terms "targets", "plans", "aims", "projects", "believes", "estimates", "anticipates", "expects", "intends", "may", "will", "would", "could" or "should" or, in each case, their negative, or other variations or comparable terminology. These forward-looking statements include all matters that are not historical facts. Forward-looking statements are based on the current views, expectations and assumptions of the management of the Company and involve significant known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. Forward-looking statements should not be read as guarantees of future performance or results and will not necessarily be accurate indications of whether or not such results will be achieved. Any forward-looking statements included herein only speak as at the date of this release. The Company undertakes no obligation, and do not expect to publicly update, or publicly revise, any of the information, forward-looking statements or the conclusions contained herein or to reflect new events or circumstances or to correct any inaccuracies which may become apparent subsequent to the date hereof, whether as a result of new information, future events or otherwise. The Company accepts no liability whatsoever in respect of the achievement of such forward-looking statements and assumptions.

The Joint Bookrunners are acting exclusively for the Company and no-one else in connection with the offering of the Securities. They will not regard any other person as their respective clients in relation to the Offering and will not be responsible to anyone other than the Company for providing the protections afforded to their respective clients, nor for providing advice in relation to the offering of the Securities, the contents of this announcement or any transaction, arrangement or other matter referred to herein.

In connection with the offering of the Securities, the Joint Bookrunners and any of their affiliates may take up a portion of and/or may acquire the Securities as a principal position and in that capacity may retain, purchase, sell, offer to sell for their own accounts such Securities and other securities of the Company or its group or related investments in connection with the offering of the Securities or otherwise. In addition, the Joint Bookrunners and any of their affiliates may enter into financing arrangements (including swaps, warrants or contracts for differences) with investors in connection with which the Joint Bookrunners and any of their affiliates may from time to time acquire, hold or dispose of Securities and/or other securities or derivate positions in such securities. The Joint Bookrunners and their affiliates do not intend to disclose the extent of any such investment or transactions otherwise than in accordance with any legal or regulatory obligations to do so.

None of the Joint Bookrunners or any of their respective directors, officers, employees, affiliates, advisers or agents accepts any responsibility or liability whatsoever for or makes any representation or warranty, express or implied, as to the truth, accuracy or completeness of the information in this announcement (or whether any information has been omitted from the announcement) or any other information relating to the Company, its subsidiaries or associated companies, whether written, oral or in a visual or electronic form, and howsoever transmitted or made available or for any loss howsoever arising from any use of this announcement or its contents or otherwise arising in connection therewith.