UBS «Sima»: capital increase with subscription rights / UBS «Sima», UBS «Swissreal», UBS «Foncipars»: distributions and net asset values

Transcription

1 Media Relations Tel April 2014 News Release UBS «Sima»: capital increase with subscription rights / UBS «Sima», UBS «Swissreal», UBS «Foncipars»: distributions and net asset values From 24 April to 6 May 2014, UBS AG will carry out a capital increase with subscription rights for UBS (CH) Property Fund Swiss Mixed «Sima». Zurich/Basel, 4 April 2014 The real estate portfolio of UBS «Sima» has grown by more than 24% over the last three years, from million CHF (31 December 2010) to million CHF (31 December 2013). In recent months, UBS «Sima» has launched various construction projects and has realized acquisitions which will supplement the portfolio with attractive properties that will even further improve the quality and diversification of the portfolio. These construction projects and acquisitions in good locations in the regions of Zurich, Basel and Grisons will expand the portfolio volume by approximately 380 million CHF. UBS «Sima» is thus emphasizing its successful investment strategy as a fund with a diversified portfolio of residential and commercial properties throughout Switzerland. What is in favor of UBS «Sima» Largest listed Swiss real estate fund with an average 10 year performance of 5.7% ( ). Broadly diversified real estate portfolio with approx. 350 properties on selected locations totaling a volume of million CHF. Total return on net asset value developed well in 2013 at 5.7%, independent of the stock market price (net asset value +1.4%). Distribution yield of 3.4% slightly higher compared to other real estate funds and attractive compared to fixed-income investments. The capital increase To help UBS «Sima» continue to grow, UBS AG is carrying out a capital increase from 24 April to 6 May 2014, 12 noon. Subscription rights will be officially traded on SIX Swiss Exchange from 24 April to 30 April The issue price will comprise the net asset value at the 31 December 2013 accounting year-end after payment of the annual distribution plus the accrued income up to the payment date and the issuing commission. Units will be issued on a commission basis (best-efforts basis) as part of a public subscription rights issue. The fund management company will determine the number of new units to be issued based on the subscription rights that have been exercised by the end of the subscription period. The number of new units to be issued may thus fall below the stated maximum. Furthermore, the value of subscription rights traded on SIX Swiss Exchange may fluctuate due to changes in supply and demand, and no guarantee can be given that they will maintain their value. UBS AG, News Release, 4 April 2014 Page 1 of 5

2 The usual correction in the market price, roughly equivalent to the value of the subscription right, is to be expected from 24 April 2014 (ex-date in respect of subscription right). The new units will be retroactively entitled to distributions for the whole accounting year from 1 January The payment date for new units will be on 13 May During the subscription period, existing unit holders are entitled to buy new units of the fund with their subscription rights. New investors may participate in the capital increase by buying subscription rights on SIX. The fund management company UBS Fund Management (Switzerland) AG has already announced the capital increase from 21 January 2014 in a media release, on the UBS Internet and in advertisements and has now fixed the terms of the issue: Issue terms Securities no.: Units: / subscription rights: Subscription ratio (new : existing units): 1 : 15 Number of existing units: Number of new units (maximum): 61'122'011 4'074'801 Subscription price: CHF Stock exchange price : CHF Theoretical stock exchange price after distribution: CHF Theoretical value of subscription right after distribution: CHF 0.83 Theoretical opening price per unit on 1st day of subscription period: Issue volume: CHF approx. CHF 330 million A large portion of the issue proceeds will be used for the following projects: Redevelopment residential property Bellariastrasse, Zurich Investment volume of approx. CHF 40 million Completion planned 1st quarter 2015 UBS AG, News Release, 4 April 2014 Page 2 of 5

3 Redevelopment residential property Blaketen, Wetzikon Investment volume of approx. CHF 19 million Completion planned 2nd quarter 2015 New construction hotel Thurgauerstrasse, Opfikon Investment volume of approx. CHF 120 million Completion planned 2nd quarter 2015 New construction residential and commercial property Bahnhofstrasse, Pratteln Investment volume of approx. CHF 50 million Completion planned 4th quarter 2015 UBS AG, News Release, 4 April 2014 Page 3 of 5

4 New construction hotel and commercial property Symond Park, Davos Investment volume of approx. CHF 80 million Completion planned 4th quarter 2015 Redevelopment residential and commercial property Transitlager, Münchenstein Investment volume of approx. CHF 70 million Completion planned 2nd quarter 2016 The remaining issue proceeds will be used to buy additional properties, to finance further refurbishments and construction projects as well as to repay loans. Why participate in the capital increase? The new units will be issued at the net asset value (net of distribution) as at the end of the accounting year on 31 December 2013 plus income accrued up to the payment date and an issuing commission, irrespective of the market price. By exercising their subscription rights, investors can maintain their percentage share of the fund s assets at the same level. Clear investment guidelines and professional management ensure that the new capital is invested in attractive properties. The purchase of new properties improves diversification, reduces the age of the portfolio and therefore increases its appeal for tenants and ultimately also for investors. Further information Swiss UBS Real Estate Funds UBS AG, News Release, 4 April 2014 Page 4 of 5

5 Distribution Based on the account for the accounting year ending 31 December 2013, the fund management company has fixed the following distributions for the UBS Real Estate Funds listed below: Ex-date: 8 April 2014 payable on: 11 April 2014 Securities Fund no UBS (CH) Property Fund Swiss Mixed «Sima» UBS (CH) Property Fund Swiss Commercial «Swissreal» UBS (CH) Property Fund Léman Residential «Foncipars» Coupon no Distribution (gross) in CHF 35% withholding tax Distribution (net) in CHF * * * * may be reclaimed by investors domiciled in Switzerland, may be partially reclaimed by investors domiciled abroad, should a double taxation agreement with Switzerland exist The fund management company has decided for all three funds to pay the same distribution as it did last year. Net asset value Based on the accounts for 2013, the following new net asset values were calculated as at 31 December 2013: Securities no. Fund Net asset value as at (before distribution) Net asset value as at (before distribution) UBS (CH) Property Fund Swiss Mixed «Sima» CHF CHF UBS (CH) Property Fund Swiss Commercial «Swissreal» CHF CHF UBS (CH) Property Fund Léman Residential «Foncipars» CHF CHF The funds will be traded on SIX on the basis of their new net asset values for the first time on 7 April The usual correction in the market price, roughly equivalent to the amount distributed, is to be expected from 8 April 2014 (ex-date in respect of distribution). The net asset values and distributions will be announced from 4 April 2014, in «Finanz & Wirtschaft», «L Agéfi» and «Liechtensteiner Volksblatt» as well as on UBS AG Media contact Switzerland: UBS AG, News Release, 4 April 2014 Page 5 of 5