Deutsche Annington €1.9 billion acquisition of Süddeutsche Wohnen from Patrizia

Overview:

• Germany's largest real estate company and landlord  Deutsche Annington (now Vonovia) acquired competitor Süddeutsche Wohnen (Südewo) from rela estate invetsor Patrizia for €1.9 billion. 
• The fee saw Patrizia receive €1.1 billion and the listed acquirer take on €800 million of Südewo's debt.  
• Germany's biggest landlord financed the deal through a €2.25 billion capital increase. 
• The underwriters on the capital increase were Barclays, BofA Merrill Lynch, Commerzbank, Credit Suisse, Kempen & Co, JPMorgan, Societé Générale Corporate & Invetsmnet Banking, and Unicredit.   
• The acquisition adds 19,800 apartments, mostly in Baden-Wuerttemberg, to Deutsche Annington's portfolio.  
• The Südewo deal was the second large acquisition Deutsche Annington made in 2015. 
• Earlier in the year the landlord took over listed rival Gagfah in a €3.9 billion deal that was the largest real estate transaction in Germany ever. 

Ben Naylor - Regional Editor