Led by its partners Michael Schlitt and Birgit Reese, Hogan Lovells advised DEMIRE Deutsche Mittelstand Real Estate AG on the acquisition of a strategic interest in the company by funds managed by Apollo.
As part of this transaction, the nominal share capital of DEMIRE is increased by 10% from authorised capital. AEPF III 15 S.à r.l., a holding company controlled by funds, which in turn are advised by an affiliated company of Apollo Global Management LLC, was admitted for subscription of the new shares at the issuance price of € 4.35 per share. The new shares will be subscribed for once the German Federal Cartel Office (Bundeskartellamt) has granted its approval.
Moreover, on 26 February 2018, AEPF III 15 S.à r.l. announced its intention to make a mandatory offer to DEMIRE's shareholders for the acquisition of all of the company's shares at a price of € 4.35 per share as it has obtained control over DEMIRE as a result of a cooperation agreement entered into with Wecken und Cie and with members of the Wecken family. With regard to Fair Value REIT-AG, a company which is also listed on the stock exchange and in which DEMIRE holds an indirect interest of 77.70%, AEPF has announced the decision to publish a voluntary public takeover offer at the statutory minimum price. AEPF intends to make the offer in the form of a so-called delisting offer.
DEMIRE AG holds commercial properties in medium-sized towns and up-and-coming peripheral locations of metropolitan areas throughout Germany with a value of approx. € 1 billion.
Hogan Lovells team for DEMIRE AG:
Frankfurt
Prof. Dr. Michael Schlitt (Partner), Dr. Susanne Lenz (Counsel), Maurice Heine, Andreas Mildner, Dr. Christopher Dassbach, Julia Krämer (Capital Markets).
Düsseldorf
Birgit Reese (Partner), Jens Uhlendorf (Partner), Dr. Christoph Louven (Partner), Lars Benger (Partner), Dr. Tobias Böckmann (Counsel), Dr. Tobias Strohmeier (Senior Associate), Jan-Felix Wickermann (Associate, Corporate/M&A);
Dr. Michael Dettmeier (Partner, Tax);
Dr. Martin Sura (Partner, Antitrust).
