Takeover bid on Banimmo: Affine commits to tender its stake

Paris, 12 July 2018, 6.00 p.m.

Takeover bid on Banimmo: Affine commits to tender its stake

Affine announces its intention to tender its whole stake in the company Banimmo to the takeover bid launched by the Belgian insurance group Patronale Life. Affine's 49.5% stake will thus be sold for €18.6m, i.e. €3.3 per share, corresponding to the volume-weighted average price of the last six months.

Affine has acquired its stake in 2006 for a net amount of around €66.6m. Banimmo has managed to benefit from a positive environment by generating large profits in the years that followed, distributing over €45.1m in dividends in total to Affine until 2013. The conversion of Banimmo's business model from a property restructuring to a development company has made its business profile more volatile, as demonstrated by the Urbanove operation, which resulted in significant provisions and a sharp fall in its share price. For the last two years, the new management as set by Affine has been concentrated to simplifying the model, organising a significant debt reduction programme and relaunching the development projects of its land bank.

For Affine, the operation means cash back available for its investments strategy. The contribution of this disposal to the net profit should be neutral, as the sale price of the Banimmo shares is close to the group share net book value in Affine's balance sheet as at 31 December 2017.

Since 2008, Affine's strategy has been to refocus its activities on its property business with a view to simplifying its economic model for investors and to ensure a better allocation of its equity capital. The company has thus sold its construction subsidiary ABCD (2008), its business centre subsidiary BFI (2009) and its logistics development subsidiary Concerto Développement (2014), and simultaneously stopped its lease finance activity (2007) and that of its property development subsidiary Promaffine (2009).

With the disposal of Banimmo, Affine is taking an additional step towards a property profile specialising in French commercial property and whose field of expertise focuses on offices and, in a complementary way, on city-centre businesses. Its investment policy is aimed at rejuvenating its assets and attaining a balanced development between Paris Métropole (Paris and its inner suburbs) and the major French regional cities (Bordeaux, Lille, Lyon, Marseille, Nantes and Toulouse).

ABOUTAFFINE

Affine is a property company specialising in commercial real estate. At the end of 2017, it directly owned 45 buildings with a total value of €579, (excl. transfer taxes) for a total surface area of 332,400 sqm. The Company owns office properties (69%), retail properties (23%) and warehouses and industrial premises (8%). Its assets are distributed more or less equally between Ile-de France and other regions in France.

Affine is also the major shareholder (49.5%) of Banimmo, a Belgian property repositioning company with operations in Belgium and France. At the end of 2017, Banimmo had total assets of 14 office and commercial buildings, with a value of €208m (transfer taxes included).

Total Group assets are €824m (including transfer taxes).

In 2003, Affine opted for French real estate investment trust (SIIC) status. Affine's shares are listed on Euronext Paris (Ticker: IML FP/BTTP.PA; ISIN code: FR0000036105). It is included in the CAC Mid&Small, SIIC and IEIF indexes. Banimmo is also listed on Euronext.

To find out more:www.affine.fr. Follow our news feed on:https://twitter.com/Groupe_Affine

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