26.10.2015 – 07:08

Peach Property Group AG

EQS-Adhoc: Peach Property Group considers issuing a corporate bond before year end

EQS Group-Ad-hoc: Peach Property Group AG  / Key word(s): Bond/Issue of Debt
Peach Property Group considers issuing a corporate bond before year end

26.10.2015 / 07:01
Release of an ad hoc announcement pursuant to Art. 53 KR.
The issuer is solely responsible for the content of this announcement.

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NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION (IN WHOLE OR IN PART) IN OR INTO
THE UNITED STATES, AUSTRALIA, CANADA OR JAPAN OR ANY OTHER JURISDICTION WHERE TO
DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION.

Press release

Peach Property Group considers issuing a corporate bond before year end

-Bond to be issued by German Peach subsidiary

-Listing in Entry Standard segment planned

-Funds to be used for repayment of existing 2011/2016 bond as well as further
expansion of German investment portfolio


Zurich/ Cologne, 26 October 2015 - Peach Property Group AG, an investor in
residential and commercial real estate, today announced that it is considering
issuing a new corporate bond before the end of the year, depending on the
capital market environment. Its German subsidiary, Peach Property Group
(Deutschland) AG, would act as the issuer. The Swiss parent company, Peach
Property Group AG, would fully guarantee this bond and the payment obligations
arising from it. Peach Property Group aims to market the bond by way of a public
offer in Germany and Luxembourg as well as by private placements with
institutional investors. The issuing prospectus is expected to be approved today
by the financial supervisory authority in Luxembourg (Commission de Surveillance
du Secteur Financier) and will be available later today on the Company's website
at www.peachproperty.com. The plan is to list the bond in the Entry Standard
segment of the Frankfurt Stock Exchange. Bankhaus Lampe KG will serve as Sole
Lead Manager of the transaction.

Peach Property Group intends to use the planned proceeds to refinance its
existing 2011/2016 bond (ISIN DE000A1KQ8K4), which was issued by Peach Property
Group (Deutschland) AG in July 2011 and has an outstanding volume of EUR 46
million. The issue proceeds shall further be used for expanding the Group's
investment portfolio by adding high-yield properties in Germany, thus further
boosting current revenue through rental income. In the recent months, the Group
has advanced its strategy of strengthening its focus on investment properties by
making several acquisitions, thus further increasing rental income.

Cologne-based Peach Property Group (Deutschland) AG and its subsidiaries
primarily own residential properties as well as selected retail and office
properties in Germany located in medium-sized cities ("B" and "C" cities),
mainly in the vicinity of major urban agglomerations. Furthermore, the Group
this year successfully developed "Living 108", a property project comprising of
128 residential units in Berlin-Mitte. Almost all of the units were handed over
in the first half of 2015. However, going forward the Groups's focus will be
solely on investment properties and the further expansion of its investment
portfolio. In the first six months of 2015, Peach Property Group (Deutschland)
AG and its subsidiaries generated earnings after taxes of approx. EUR 7.4
million, clearly surpassing the profit of EUR 0.35 million recorded in the
prior-year period. Equity almost doubled compared with the end of 2014, reaching
EUR 15.5 million as of 30 June 2015.

The Swiss ultimate parent company, Peach Property Group AG, which will act as
guarantor of the corporate bond, is a property investor focused on residential
properties in Germany and Switzerland. The Peach Property Groups's business
emphasizes investment properties, which in terms of value comprise more than 60
percent of the total portfolio. The investment properties in Germany are
indirectly held through the 100% subsidiary Peach Property Group (Deutschland)
AG. The Group also owns investment properties around Zurich. The second pillar
of Peach Property Group's business is the development of properties with
up-market specifications and amenities in prime locations, which provides the
Group with a steady cash flow coupled with attractive yields. The plan is to
expand the share of investment properties continually to at least 75 percent in
the long term.

Bernd Hasse, Managing Director Germany of Peach Property Group, said: "Our
company has made great strides and has evolved into a successful holder of
investment properties. While we want to use the funds generated by the planned
bond primarily for repaying the existing bond, we also plan to acquire
additional attractive, mainly residential properties in Germany. In doing so, we
will focus first and foremost on high-yield properties in B- and C-cities near
major population centres."

Dr Thomas Wolfensberger, CEO of Peach Property Group, commented: "We are
confident as regards the potential of our German subsidiary and therefore
willing to fully guarantee another bond. This guarantee is based on a solid
foundation: as of the end of the first half of 2015, our property portfolio had
a market value of around CHF 335 million. We are profitable and generated a
profit of around CHF 3.4 million in the first six months of 2015. Our equity
ratio at market value is a solid 27.3 percent and our NAV at market value per
share is CHF 20.37."

Contacts:

Media, investors and analysts

Dr. Thomas Wolfensberger, Chief Executive Officer and Dr. Marcel Kucher, Chief
Financial Officer
+41 44 485 50 00 |  investors@peachproperty.com


Media Germany

edicto GmbH, Axel Mühlhaus, Peggy Kropmanns
+49 (0) 69 90 55 05 52 |  amuehlhaus@edicto.de

About Peach Property Group AG

Peach Property Group AG is a property investor and developer focused on
investments in Switzerland and Germany. The portfolio includes an increasing
number of investment properties that are designed to generate sustained income
as well as attractive residential development properties. The Group's activities
cover the entire value chain, from site evaluation to project planning,
implementation and marketing. In the investment segment, the Group is focused on
properties with a potential for achieving attractive yields based on active
asset management - typically secondary locations in the catchment area of urban
agglomerations. In the development segment, the Group concentrates on
exceptional locations and properties with high-end specifications and amenities
that meet the requirements of a demanding clientele.

Peach Property Group AG is headquartered in Zurich and has its German Group
headquarters in Cologne. Peach Property Group AG is listed on the SIX Swiss
Exchange (PEAN, ISIN CH0118530366).

For more information, see www.peachproperty.com

Important information

This document does not contain or constitute an offer of, or the solicitation of
an offer to buy or subscribe for, securities to any person in Australia,
Germany, Canada, Japan, or the United States or in any jurisdiction to whom or
in which such offer or solicitation is unlawful. The securities referred to
herein may not be offered or sold in the United States absent registration under
the U.S. Securities Act of 1933, as amended (the "Securities Act") or another
exemption from, or in a transaction not subject to, the registration
requirements of the Securities Act. Subject to certain exceptions, the
securities referred to herein may not be offered or sold in Australia, Canada or
Japan or to, or for the account or benefit of, any national, resident or citizen
of Australia, Canada or Japan. The offer and sale of the securities referred to
herein has not been and will not be registered under the Securities Act or under
the applicable securities laws of Australia, Canada or Japan. There will be no
public offer of the securities in the United States.

In the United Kingdom, this document is only being distributed to and is only
directed at persons who (i) are investment professionals falling within Article
19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order
2005 (as amended) (the 'Order') or (ii) are persons falling within Article
49(2)(a) to (d) of the Order (high net worth companies, unincorporated
associations, etc.) (all such persons together being referred to as 'Relevant
Persons'). This document is directed only at Relevant Persons and must not be
acted on or relied on by persons who are not Relevant Persons. Any investment or
investment activity to which this document relates is available only to Relevant
Persons and will be engaged in only with Relevant Persons.

No action has been taken that would permit an offering of the securities or
possession or distribution of this announcement in any jurisdiction where action
for that purpose is required. Persons into whose possession this announcement
comes are required to inform themselves about and to observe any such
restrictions.

If any statements in this document contain forward-looking statements, such
statements do not represent facts and are characterized by the words 'will',
'expect', 'believe', 'estimate', 'intend', 'aim', 'assume' or similar
expressions. Such statements express the intentions, opinions or current
expectations and assumptions of Peach Property Group and the persons acting
together with Peach Property Group. Such forward-looking statements are based on
current plans, estimates and forecasts which Peach Property Group and the
persons acting together with Peach Property Group have made to the best of their
knowledge, but which do not claim to be correct in the future. Forward-looking
statements are subject to risks and uncertainties that are difficult to predict
and usually cannot be influenced by Peach Property Group or the persons acting
together with Peach Property Group. It should be kept in mind that the actual
events or consequences may differ materially from those contained in or
expressed by such forward-looking statements.

The information contained in this announcement is for background purposes only
and does not purport to be full or complete. No reliance may be placed for any
purpose on the information contained in this announcement or its accuracy or
completeness. The information in this announcement is subject to change.


End of ad hoc announcement

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Additional features:

Document:http://n.equitystory.com/c/fncls.ssp?u=LJUJDAEHFX
Document title: Press release

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26.10.2015 News transmitted by EQS Schweiz AG. www.eqs.com - news archive:
http://switzerland.eqs.com/de/News

The issuer is responsible for the contents of the release.
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Language: English

Company:  Peach Property Group AG

          Seestrasse 346

          8038  Zürich

          Switzerland

Phone:    +41 44 485 50 00

Fax:      +41 44 485 50 11

E-mail:    investors@peachproperty.com

Internet: www.peachproperty.com

ISIN:     CH0118530366

Valor:    A1C8PJ

Listed:   Regulated Unofficial Market in Berlin, Stuttgart; Open Market in
Frankfurt ; SIX


End of News EQS Group News Service

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405215  26.10.2015