Varia US Properties today announces the results of the capital increase by way of a rights offering as approved by the shareholders at the extraordinary general meeting of 8 December 2017. By the end of the rights exercise period on 11 January 2018, 12:00 noon CET, 89.1% of the rights have been exercised, corresponding to 1,603,703 newly registered shares. The remaining 196,500 new registered shares, for which rights were granted but not exercised in the right exercise period, have been placed at the offer price to the market. Due to the strong demand for new shares in the share offering, allocations had to be substantially shortened. In total, Varia will issue 1,800,203 new registered shares at a price of CHF 35.50 per new registered share. The Company expects gross proceeds of CHF 63.9 million from its capital increase. As a result of the offering, the total number of shares will be increased from 7,200,815 shares to 9,001,018 shares.
In the context of the rights offering, existing shareholders of Varia were offered to subscribe up to 1,800,203 new registered shares. They were allotted one pre-emptive subscription right for each registered share. Four subscription rights entitled the holder of such rights to subscribe for one new registered share at the offer price of CHF 35.50 per share.
Patrick Richard, Delegate of the Board of Directors of Varia said: “We are very happy about the strong market demand and the further strengthening of our investor base. Varia will continue on the path we have taken and further enhance the US real estate portfolio. Therefore, we will use the proceeds of the capital increase for the acquisition of other appealing real estate properties in our targeted markets and regions in the USA.”
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