INVL Baltic Real Estate Completes Share Buyback Initiative

INVL Baltic Real Estate Completes Share Buyback Initiative

INVL Baltic Real Estate, a prominent player in the real estate sector, has recently concluded its share buyback program. The company successfully purchased 61,721 shares, totaling EUR 166,646.70, excluding any brokerage fees. This strategic move was authorized with a potential limit of up to 100,000 shares, demonstrating a proactive approach to managing capital.

Details of the Share Buyback

The buyback program, which utilized the Dutch auction method, established a final purchase price at EUR 2.70 per share. The share purchase procedure commenced and continued through various stages, showcasing an effective execution strategy that incorporated market dynamics.

Share Acquisition Timeline

The timeframe for this program spanned from December 16 to December 20. The process was facilitated through the official tender offers market of the local NASDAQ Vilnius stock exchange. The shares acquired will be settled on December 27, marking the completion of this segment of the initiative.

Purposes and Benefits of the Buyback

The primary aim of this buyback is to reduce the company’s share capital by canceling the acquired shares, ultimately enhancing shareholder value. As Vytautas Bakšinskas, the real estate fund manager at INVL Asset Management, stated, this initiative provided shareholders with an opportunity to liquidate some or all of their holdings. A reduced number of outstanding shares typically results in an increase in the relative value of the remaining shares.

Strategic Management and Investment

INVL Baltic Real Estate had originally received authorization to acquire up to 100,000 shares, representing 1.2% of its authorized capital. A total of EUR 270,000 was designated from an unused EUR 2.4 million reserve dedicated to the acquisition of own shares. This careful planning reflects INVL Asset Management's role as a leading alternative asset manager in the Baltic region.

Historical Context of the Share Buyback

The decision to initiate this share buyback was sanctioned by the management company, INVL Asset Management, which has a reputable standing within the investment community. The company's shareholders had previously authorized this initiative in late April, showcasing a well-structured governance process.

Current Status of Share Acquisitions

Following the recent transactions, INVL Baltic Real Estate has successfully repurchased a total of 107,480 shares, accounting for 1.3% of its authorized capital. This ongoing buyback effort signifies the company's commitment to enhancing its capital structure while supporting investor interests.

About INVL Baltic Real Estate

INVL Baltic Real Estate boasts a diverse portfolio of properties located in key urban areas. It owns office buildings in the historic districts of Vilnius and Riga, including notable locations such as Vilniaus Street and a thriving business center known as Pramog? bankas. Furthermore, the company oversees the expansive 52-hectare Dommo Logistics and Industrial Park, strategically placed near major highways, facilitating access and business operations.

Real Estate Performance

At the conclusion of September, INVL Baltic Real Estate achieved remarkable occupancy rates ranging from 85% to 100% across its properties, a testament to its effective management and strategic positioning within the market. The total area under its management amounts to 19,300 square meters, while the property valuation reached EUR 45.59 million.

About INVL Asset Management

As the leading alternative asset manager in the Baltics, INVL Asset Management is dedicated to delivering competitive returns while contributing positively to local economic growth. With a legacy extending over three decades, the firm manages or supervises assets worth more than EUR 1.6 billion across varying asset classes, including real estate, private equity, and renewable energy.

Frequently Asked Questions

What is the reason behind INVL Baltic Real Estate's share buyback?

The primary purpose of the buyback is to reduce the company's share capital by canceling the purchased shares, which can increase the value of the remaining shares for investors.

How many shares were repurchased during the recent buyback?

INVL Baltic Real Estate repurchased a total of 61,721 shares in this latest buyback endeavor.

What was the purchase price per share during the buyback?

The final purchase price settled at EUR 2.70 per share, as determined through the Dutch auction process.

Who manages INVL Baltic Real Estate?

INVL Baltic Real Estate is managed by INVL Asset Management, a prominent alternative asset management company in the Baltic region.

What is the current value of INVL Baltic Real Estate properties?

The total value of INVL Baltic Real Estate's properties reached EUR 45.59 million at the end of September 2024.

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