Akropolis Group Strengthens Its Position with BB+ Rating
Recently, the international credit rating agency Fitch Ratings assessed the acquisition of Galio Group by Akropolis Group, reaffirming its BB+ rating with a stable outlook. This marks a significant milestone for Akropolis Group, showcasing its ongoing commitment to sustainable growth and financial responsibility.
CEO's Insights on Growth and Diversification
Gabriel? Sapon, the CEO of Akropolis Group, expressed optimism regarding the rating reaffirmation. She stated, “The confirmation of our rating post-acquisition conveys a powerful message: our responsible growth strategy enhances portfolio diversification while adhering to a sustainable financial policy. This bolsters confidence in our long-term growth trajectory.”
Financial Stability Post Acquisition
Fitch Ratings highlighted the financial stability of Akropolis Group after the acquisition, attributing it to a lower average cost of debt and an expanded number of real estate assets that generate consistent income. The acquisition significantly increased the value of the company's real estate portfolio and improved its diversification across various real estate classes.
Portfolio Growth and Reduced Concentration
Following the Galio Group acquisition, Akropolis Group's real estate portfolio experienced a remarkable 30% growth, rising from EUR 1.1 billion to EUR 1.4 billion. Furthermore, the number of income-producing properties surged from 5 to 60, resulting in a noteworthy reduction in the concentration of shopping centers from 96% to 73% of the portfolio value.
Impressive Performance Metrics
The credit rating reaffirmation report from Fitch Ratings also acknowledged the company's impressive performance in the early part of the year. This includes an increase in rental income, a rise in tenant sales, consistent foot traffic in shopping centers, and low vacancy rates in rented premises.
Recent Positive Developments
In May, Akropolis Group successfully launched its inaugural EUR 350 million green bond, with a five-year term and a competitive 6.000% annual interest rate. These bonds are now listed on Nasdaq Vilnius and Euronext Dublin markets, reflecting the company's robust financial strategy.
Growth in Rental Income
During the first half of the year, Akropolis Group generated EUR 46.3 million in consolidated rental income, marking a 5.4% increase compared to the previous year. The company recorded an EBITDA of EUR 44.3 million, exhibiting a 3.4% growth over the same period last year, underscoring a stable financial landscape.
Continued Ratings Confidence
In addition to Fitch Ratings, S&P Global Ratings also reaffirmed its BB+ rating for Akropolis Group, emphasizing the positive impact of the Galio Group acquisition on the company's financial solidity and prospects for growth.
Contact Information for Inquiries
For further information, you canreach out to:
Paulius Pocius
Head of Marketing and Communications
AKROPOLIS GROUP, UAB
+370 699 99566
paulius.pocius@akropolis.lt
Frequently Asked Questions
What is Akropolis Group's recent credit rating?
Akropolis Group's recent credit rating is BB+, confirmed by Fitch Ratings with a stable outlook.
What impact did the acquisition of Galio Group have?
The acquisition significantly boosted Akropolis Group's real estate portfolio value by 30% and diversified its property assets.
How much rental income did Akropolis Group generate recently?
In the first half of the year, Akropolis Group generated EUR 46.3 million in rental income, a 5.4% increase from the prior year.
Who is the CEO of Akropolis Group?
The CEO of Akropolis Group is Gabriel? Sapon, who emphasizes the company's commitment to responsible growth.
What notable financial strategy did Akropolis Group implement?
Akropolis Group successfully issued a EUR 350 million green bond with a 6.000% annual interest rate, enhancing its financial strategy.
