GxP German Properties AG Fiscal Year 2016 Presentation. 31 March 2017

Transcription

1 GxP German Properties AG Fiscal Year 2016 Presentation 31 March

2 Disclaimer This document is not a securities prospectus and the information contained therein does not constitute an offer to sell or a solicitation of an offer to purchase any securities of GXP German Properties AG in Federal Republic of Germany nor under any other jurisdiction, in particular not where such kind of offer or solicitation is prohibited or lacks the required permission. Potential investors in securities of GXP German Properties AG are asked to familiarize themselves with and to observe the respective restrictions. A decision to invest in the securities of GXP German Properties AG should only be made on the basis of the securities prospectus detailing the public offering of the securities of GXP German Properties AG in the Federal Republic of Germany, which, subject to the approval of the German Federal Financial Supervisory Authority (BaFin) is anticipated to be published under The information in this document may not be disseminated outside the Federal Republic of Germany, in particular not in the United States, to US Persons (as defined in regulation S of the US Securities Act of 1933) or to publications with a general circulation in the United States with the exception of a such disclosures or announcements outside the Federal Republic of Germany which have to be made under the respective mandatory law. Any person who fails to comply with these restrictions may violate the security laws of certain jurisdictions, in particular of the United States. Shares of GXP German Properties AG are not publicly offered outside the Federal Republic of Germany. This document may contain forward-looking statements, which are based on the current estimates and assumptions by the corporate management of GxP German Properties AG. Any forward-looking statements are characterized by the use of words such as expect, intend, plan, predict, assume, believe, estimate, anticipate and similar forward looking formulations. Such statements are not to be understood as in any way guaranteeing that those expectations will turn out to be accurate. Specifically all statements regarding acquisitions are subject to signing the required contracts and depending on a successful fundraising of the required equity and debt capital. Future performance and the results actually achieved by GxP German Properties AG and its affiliated companies depend on a number of risks and uncertainties and may therefore differ materially from the forward-looking statements. Many of these factors are outside GxP German Properties AG s control and cannot be accurately estimated in advance, such as the future economic environment or the actions of competitors and others involved in the marketplace. GxP German Properties AG neither undertakes nor plans to update any forward-looking statements

3 GxP At A Glance German commercial real estate company with strong track record focusing on high yielding retail and office properties 1 Asset Class Buy-to-Hold of Core+/Value Add portfolio of commercial real estate 2 Regional Focus on A- and B- cities 3 Business Model Strong asset management focus, diversification of commercial real estate portfolio Acquisition Criteria Divestments Management Team Track Record Pipeline B-locations in A-cities and A-locations in B-cities, good demographic development, under-invested and vacancy, aboveaverage gross-income and FFO returns, strong NAV- and FFO- growth potential Divestments of properties that do not fit Investment criteria or have no further upside Management team with in aggregate more than 70 years of real estate and capital markets experience as board members and CEOs Strong and proven track record with acquisition of assets worth 125 m generating 27 m realized profit in last 16 months before Re-IPO of company 106 m acquisitions closed; further pipeline of 250 m in due diligence, thereof m potentially in 2017 Continuous screening and development of the acquisition pipeline - 3 -

4 GxP FY 2016 Highlights 1 Relaunch completed GxP has established itself as a publicly listed company 27 m capital increase in Q Initial portfolio with strong KPIs Financials 2016 reconfirmed Annualised guidance First acquisitions of 106 m volume were successfully completed Superior return within commercial real estate sector with a net initial yield of over 7.0% and strong cash flow / FFO I WALT of 3.3 years with a strong value increase potential German GAAP (HGB) NAV of 77 m or 1.11 / share, excl. Goodwill 42 m or 0.61 / share LTV of 63% with low financing rate of on average 2.2% Strong liquidity of 11.1 m cash as of 31 December; 7.5 m cash Dresden acquisition in February 2017 P&L not meaningful with recent restart and acquisitions having closed in December 2016 as well as February 2017 Annualized net rental income of 7.5 m Annualized FFO I of 3.5 m (currently 8.5% FFO I yield on current market capitalization) (1) Long-term Net - LTV of max. 55% 5 First success in asset management GxP Asset Management team has a strong track record and 6 proprietary asset managers First success in asset management of existing real estate with increased rents and reduced vacancy rates Current vacancy rate of 15% is proactively managed down with a strong asset management team 6 Growth to be continued Pipeline currently focussed on 5-20 m GAV assets Strict acquisition criteria: > 7% net initial yield, vacancy with value increase potential, Tier 1 anchor tenant, >8% FFO acquisition yield (1) Based on a market capitalization of 41.6 m - 4 -

5 Management + Team Experience in Asset Management CEO Curriculum Vitae Johannes Meran More than 15 years of investing experience, 7 of which in real estate 4 Years as CEO of a public real estate company Since February 2016, CEO of GxP German Properties Chairman/CEO of Conwert Immobilien Invest SE. Total transaction volume of 1.6bn in real estate Principal Cognetas LLP - Private Equity Goldman Sachs Investment Banking MBA, Harvard Business School Name Function Real Estate Experience Andreas Lewandowski Frédéric Duparré Melanie Schäfer Franzika Dobrick Peter Neumann Ragna Raue Bahar Temiz Romy Poppe André Kulschun Chairman of the Supervisory Board COO Asset Management Asset Management Building engineer Asset Management Asset Management Asset Management / Controlling Acquisition More than 25 years experience, Head of acquisition, CEO Estavis AG More than 15 years experience in various real estate entities More than 7 years experience More than 5 years experience More than 15 years experience More than 8 years experience One year experience More than 15 years experience More than 15 years experience Franconofurt AG, TAG AG, Estavis AG CMI Chamartin Immobilien AG, BUWOG AG, etc. Jones Lang LaSalle, Estama Gesellschaft für Real Estate Management mbh Corpus Sireo, DTZ Zadelhoff Tie Leung ESTAVIS AG Estama Gesellschaft für Real Estate Management mbh von der Mark Vermögensverwaltung mbh, Hannover ESTAVIS AG Netto ApS & Co. KG Franziska Berg Support One year experience The Ritz Carlton Group - 5 -

6 Business Model Creating above average yielding fixed income stream asset backed by German commercial real estate. Strong asset management team creating stable and above-average returns Acquisition Asset Management Portfolio stable & aboveaverage returns Excellent access to deal flow Strong network in fragmented regional/local markets creates offmarket deal flow Search for right risk/return profile Strong socio economic factors in A+B cities Strong tenants Good building quality, low capex Strong micro locations Clean up mixed portfolios Create value through hands-on local asset management Strong In-house Asset Management platform Includes external asset management fees Continuous investment in platform Local know-how and network leads to strong tenant retention and quick reduction of vacancies Property Management is outsourced to local partners Optimize FFO through portfolio management Core Core + Value -Add Opportunistic - 6 -

7 Established Sourcing Process Market access Selection process and acquisition opportunities 1 ( m) Real estate agents International National Local Investors Private Equity and institutional investors Min. (Risk) and Max. (Return) Loan funds Disstressed situations First examination Detailed analysis Bids Due Diligence process Signed Closed Others Broker and bank network Current tenants Distressed owners Court auctions Average time between first examination and closing: 100 days Great market access through excellent and diversified network Professional and fast selection process based on in-depth regional expertise Source: (1) Based on proforma GAV, as at 31 December

8 Why German B-cities? That s where the market is attractive! GDP in 1,000 per person Top 20 German power - cities Market dynamics in B-cities # City 1 Wolfsburg Frankfurt am Main Schweinfurt Ingolstadt Regensburg Düsseldorf Ludwigshafen am Rhein GDP/capita in k Erlangen Stuttgart Ulm Coburg Bonn Aschaffenburg Passau Darmstadt Koblenz Wiesbaden Mannheim 52.6 Most capital inflows into German real estate investments are in the 7 most populated cities Only 3 of the 7 largest cities are among the top 10 economic power cities of Germany Purchase price in B-cities remain substantially under replacement costs (~ 50%) Resulting strong stability of the sector throughout economic cycles More protected than A-cities that see speculative new build Vacancy at purchase offering attractive upside potential B-cities are often not covered by large real estate agents but are presented by a more fragmented group of small agents, strong local networks are required Source: (1) Friedrich Ebert Stiftung, Ungleiches Deutschland: Sozioökonomischer Disparitätenbericht 2015 (2) Institut der deutschen Wirtschaft Köln (IW) - 8 -

9 The GxP Advantage: Above-Average Yields Stable and above-average returns through Value-Add Acquisitions Portfolio Gross Yield (%) Demire (Portfolio) 1) 7 6 Hamborner REIT TLG Immobilien WCM Grand City Properties alstria office REIT-AG DIC Asset Portfolio Vacancy (%) 1) Initial purchase price yield - 9 -

10 GxP Portfolio (1) with large upside potential Initial Portfolio worth approx. 106 m and yielding above 7% Portfolio Data Overview of Property Locations Current rental income per year vs. potential rental income in m Rentable area 79,652 m 2 Use Office +13% GAV Annualised rental income m 7.5 m Hannover +9% Gross yield 7.1% 7.5 GAV/m 2 1,334 Meerbusch Dresden Vacancy 15.1% WALT (in years) 3.3 Pro forma Net-LTV c. 65% Neu-Isenburg Mannheim Frankfurt Dreieich Darmstadt Stuttgart Current Run-Rate 3yr Business Plan Fully leased Mid term target Net-LTV 55% Average Interest Rate 2.2% 1) Including 17.7 m Dresden acquisition closed on February 2,

11 Portfolio in Detail GxP Current Asset Portfolio # Assets Area (m²) Occupancy WALT (Years) Net Rental Income Total ( p.a.) / m² / M (2) m GAV Yield (in %) 1 Darmstadt 7, % , Dreieich 16,050 94% 2.4 1,885, Hannover 4,794 71% , Frankfurt 9,591 59% , Mannheim 6,430 85% , Meerbusch 8, % 1.4 1,135, Neu Isenburg 7,618 41% , Stuttgart 5,422 99% , Total Thor (1) 65,103 82% 2.9 6,364, Dresden (2) 14,549 98% 4.7 1,172, Total 79,652 85% 3.3 7,536, ) Closing 5. December ) Closing 2. Februar

12 Operational Success in Asset Management Since the existence of GxP at the end of 2014 more than 50k m 2 of area were rented with an average rent of 5 years, an increase in rental income of 29% with an average capex of 48.6 /m 2 Property Vacancy WALT in Years Comments Mannheim : m² At Acquisition 12/ % Current 14.8% At Acquisition 2.1 Current 2.2 Acquired in December 2016 Within the first 6 weeks post closing 603m 2 rented out for 5 years Tenant improvements of 271/m 2 Another 711m 2 for new rental in negotiation At Acquisition 12/ % Current 28.8% At Acquisition 2.8 Current 5.2 Acquired in December 2016 Within the first 6 weeks post closing 1.100m 2 were rented out for 10 years TI of 150/m 2 Hannover III : m² At Acquisition 09/ % Current At Acquisition 3.4 Current 5.2 Purchased September 2014 Extension of main tenant lease with tenant extensions of 116/m 2 New letting of further 1,415m 2 with tenant improvements of 245/m 2 Teltow : m² 1.3%

13 Frankfurt Dreieich Darmstadt Assets Action Plan Operational Asset Management Focus Property Key Data Strategy Object Type Office Building Building Year / Renovation 1993 Area (m²) NKM ( T p.a.) 872 WALT (Years) 3.9 Vacancy (in %) 0.0% GAV ( Mio.) 10.7 Gross Yield 8.2% Object Type Office Building Building Year / Renovation 1992 Area (m²) 16,050 NKM ( T p.a.) 1,885 WALT (Years) 2.4 Vacancy (in %) 5.6% GAV ( Mio.) 22.5 Gross Yield 8.4% Object Type Office Building Building Year / Renovation 1992 Area (m²) 9,591 NKM ( T p.a.) 468 WALT (Years) 8.5 Vacancy (in %) 41.3% GAV ( Mio.) 8.2 Gross Yield 5.7% Anchor tenant with long term lease agreement Cash Cow Active approach to current tenants Anchor tenant extended by one year. Negotiations for the long-term extension of anchor tenant not before end of 2017 Second largest anchor tenant contracted until the end of 2019 Proactive asset management of tenants from immediate neighborhood. Interest on a rental area of m 2 Capex of nearly 300k identified at purchase. 100k will be implemented in first step Property valuation of 900/m 2, therefore even with high vacancy yielding 5.7%

14 Meerbusch Mannheim Hannover Assets Action Plan (cont d) Operational Asset Management Focus Property Key Data Strategy Object Type Office Building Building Year / Renovation n.a. Area (m²) 4,794 NKM ( T p.a.) 326 WALT (Years) 5.2 Vacancy (in %) 28.9% GAV ( Mio.) 3.9 Gross Yield 8.5% Object Type Office Building Building Year / Renovation 1991 Area (m²) 6,430 NKM ( T p.a.) 603 WALT (Years) 2.2 Vacancy (in %) 15.0% GAV ( Mio.) 7.5 Gross Yield 8.0% Object Type Office Building Building Year / Renovation 2002 Area (m²) 8,184 NKM ( T p.a.) 1,136 WALT (Years) 1.4 Vacancy (in %) 0.0% GAV ( Mio.) 13.6 Gross Yield 8.4% Intensive asset management started with focus on investment readiness and speed Implementation of initial capex measurements First new lease of 1,100m 2 achieved Prospective tenants in concrete negotiations Continuous reduction of vacancy Recently rental of a large area for 9.50/m 2 (over current rent) Initial capex in implementation Discussions on long-term extension of main tenant. Result expected during Q Extensive tenant improvements within the scope of contract extension

15 Dresden Stuttgart Neu-Isenburg Assets Action Plan (cont d) Operational Asset Management Focus Property Key Data Strategy Object Type Office Building Building Year / Renovation 1996 Area (m²) 7,618 NKM ( T p.a.) 401 WALT (Years) 3.8 Vacancy (in %) 58.8% GAV ( Mio.) 11.8 Gross Yield 3.4% Object Type Office Building Building Year / Renovation n.a. Area (m²) 5,422 NKM ( T p.a.) 674 WALT (Years) 2.1 Vacancy (in %) 0.6% GAV ( Mio.) 10.3 Gross Yield 6.5% Object Type Office Building Building Year / Renovation 1994 Area (m²) 14,549 NKM ( T p.a.) 1,173 WALT (Years) 4.7 Vacancy (in %) 2.2% GAV ( Mio.) 17.8 Gross Yield 6.6% Intensive asset management activities started with focus on investment readiness and speed Potential tenants in concrete negotiations First capex measures implemented Fully let asset Very good location in Stuttgart "Cash Cow" Low WALT, therefore new rent negotiations starting in 2017 In the first 8 weeks already 300m 2 rented to existing tenants Fully leased asset with strong long-term tenants

16 Diversified Portfolio and High Quality Tenants The initial proforma portfolio is highly diversified both from location and tenants Structure of portfolio (1) (current GRI p. a. in %) Share of rental (p. a.) of 10 biggest tenants of portfolio Tenant 1 13,1% Tenant Rental Income in p.a. Rental Income in % Rented Area WALT Others 27,9% Tenant 1 983, , Tenant 2 874, , Tenant 2 11,6% Tenant 3 872, , Tenant 4 764, , Tenant 5 466, , Tenant 6 424, , Tenant 10 2,4% Tenant 9 2,9% Tenant 8 3,8% Tenant 7 4,8% Tenant 6 5,6% Tenant 5 6,2% Tenant 4 10,1% Tenant 3 11,6% Tenant 7 358, , Tenant 8 289, , Tenant 9 217, , Tenant , , Top 10 5,433, , Others 2,103, ,277 n.a. Mixture of large international companies and state entities among key tenants = AAA rated creditors 1) As of

17 Pro-forma Portfolio & Key Financials Reconciliation of balance sheet figures to total portfolio (1) Closed (Thor) Closed Q (Dresden) Pro Forma Portfolio Closed (Thor) Closed Q (Dresden) Pro Forma Portfolio # of Assets Annualised NOI ( m) GAV ( m) WALT (Years) Annualised rental income ( m) Net LTV % % % Rentable Area (m 2 ) 65,103 14,549 79,652 Avg. interest rate 2.0% 2.5% 2.2% New leases (m 2 ) 1, ,977 Avg. loan maturity (years) Occupancy (%) 84.6% 98.4% 84.8% 1) Including 17.7 m Dresden acquisition closed on February 2,

18 Profit and Loss Statement (German GAAP-HGB) The profit and loss statement 2016 is not meaningful as a result of the transfer of the first portfolio acquisition on December 5, 2016 and the extraordinary expenses associated with the capital increase as well as the stock exchange listing P&L in K FY 2016 Comments Rental Income 7,861 Increase / decrease of inventory of finished goods and work in progress 10 Other operating income 61 Material expenditure (6,848) Staff costs (273) Depreciation and amortisation (1,275) Other operating expenses (4,617) EBIT (5,081) Income from investments 0 Income from other securities and financial assets 0 Other interest and similar income 56 Depreciation of financial assets and securities held as current assets 0 Interest and similar expenses (383) EBT (5,408) Taxes on income and earnings 68 Result after taxes (5,340) Other taxes 0 Consolidated net profit for the period/total comprehensive income (HGB) (5,340) Revaluation gain Adj. Consolidated net profit including Revaluation gain Revenue includes only one month of rental income from newly acquired portfolio. Due to an asset sale in Q4 2016, sales of 7.2 m were generated. In addition, there were approximately 100k of external third party asset management fees in Q Expenditure on materials of 6.8 m reflects the book value of sales carried out, with a resulting "net" turnover of 1.0 m Depreciation includes a minor amortization of goodwill under HGB Other operating expenses mainly consisted of costs associated with capital increase, audit costs and transaction costs of the acquired properties. Actual operating expenses of approximately 1 m Under German GAAP (HGB) no gain from revaluation accounted for (approx m). The corresponding pro forma net profit under IFRS would results in an annual adj. net profit of approx. 7.2 m

19 Balance Sheet (German GAAP-HGB) P&L in K FY 2016 Comments Current assets Inventories 2,968 Trade receivables 5,025 Securities 0 Cash and cash equivalents 11,098 Prepaid expenses and deferred charges 1,193 Deferred tax assets 0 Total current assets 20,284 Non-current assets Intangible assets 35,423 Tangible assets 92,042 Financial assets 2,174 Total non-current assets 129,639 Total Assets 149,923 Current liabilities Difference in Liabilities 12,552 Provisions 1,495 Trade payables 1,402 Payments received 14 Deferred income 0 Other liabilities 6,225 Total current liabilities 21,689 Non-current liabilities 63,121 Deferred tax liabilities 2,414 Total non-current liabilities 65,535 Equity Share capital 69,305 Capital reserves 0 Retained earnings 0 Income carryforward/loss carryforward (1,981) Net income/loss (5,276) Equity attributable to owners of the parent 62,0484 Non-controlling interests 651 Total equity 62,699 Total Equity and Liabilities 149, Cash of 11.1 m as of , pro forma Dresden acquisition of 7.5 m m Goodwill confirmed by KPMG - Goodwill was created by reverse merger into public shell in October m represent the market value of the purchased portfolio plus advance payments to Dresden. The annual financial statement in 2016 only reflects first portfolio of 88.3 m. Dresden with a total of 17.7 m was closed in February 2017, down payments and revaluations of 3.7 m are already included in 2016 The difference in liabilities of 12.6 m represent the deferred tax liabilities as difference between the market value and the purchase value of the properties under HGB Loan with HSH in the amount of 63 m for the first portfolio with an interest rate of 2.3%. A further loan of 10.5 m was assumed in February 2017 for the acquisition of Dresden with an interest of 1.4% GxP completed a capital increase of 40.0 m and a cash capital increase of 27.0 m in Therefore the subscribed capital increased to 69.3 m

20 NAV Bridge Proforma Dresden Acquisition NAV Bridge Proforma Dresden Commentary Portfolio NAV of 42 m from Thor and Dresden based on the valuation of external, independent appraisals The passive difference on the balance sheet represents the valuation difference between acquisition costs and market values. The real estate assets are shown on the balance sheet at market values, and a "correction" to the HGB low-value principle is made by means of the "difference in equity On the HGB balance sheet, the properties depreciated over their useful life in 2016 amounted to just under 171k. Proforma NAV/Share HGB NAV/share 1.11 HGB NAV/ share excl. goodwill 0.61 Shares Outstanding (diluted) 69,304,

21 FFO Bridge Strong FFO I on initial portfolio, thereof resulting a 8% + FFO yield Annualized FFO I Bridge proforma incl. Dresden

22 Financial Policy Our goal: Maintaining a conservative financial policy Overview Remaining Maturity as of Year End (in m) Current Corporate Net LTV ca. 63% (1) Target Corporate Net LTV 50 55% Average Interest Rate 2.17% Maturity Long debt maturity profile of approx. 5 years Amortization 2.00% to 2.50% Issuer: Ostsächsische Sparkasse Volume: 10.5 m Maturity: Interest rate: 1.38% Amortization: 2.50% Issuer: HSH Nordbank Volume: 63.0 m Maturity: Interest rate: 2.30% Amortization: 2.00% Start HSH Nordbank Ostsächsische Sparkasse (1) As of

23 Covenants Loans Debt Financing Details Overview of current financing 8 Portfolio (Thor) Dresden Proforma Bank HSH Nordbank Ostsächsische Sparkasse Maturity Amount ( ) Reference interest rate 3-Monats-EURIBOR 3-Monats-EURIBOR 3-Monats-EURIBOR Interest rate margin (Ø 1,81%) 2.30% 1.38% 2.17% Interest rate locked until Amortization p. a. 2.0% 2.5% LTV DSCR >= 140% WAULT >= 2 Jahre

24 Annualised Guidance 2017 Strong key figures with initial portfolio Overview of Key Data Annualised rental income 7.5 m FFO I Run-Rate 3.5 m FFO I Yield (1) 8.5% Pro-forma LTV (2) 65% Mid-term Target LTV 55% 1) Based on a share price of 0,60 2) Proforma Dresden acquisition

25 Investment Highlights 1. Initial acquisitions of 106 m assets closed and income and cash flow producing 2. First success in managing assets with increased rent and reduced vacancy 3. Highest yield in sector with current FFO yield of > 8% and a net initial yield of >7.0% 4. German Real Estate Market offers attractive investment opportunities in Core+ and value-add segments 5. Well positioned for further profitable growth with excellent access to a pipeline of high-yield commercial properties and strong asset management platform

26 Contact, Financial Calendar 2017 and Share Information Contact GxP German Properties AG Europa Center 19. OG Tauentzienstr Berlin, Germany TEL.: +49 (0) FAX: +49 (0) info@gxpag.com Financial Calendar 2017 March 30, 2017 Annual Report 2016 April 26/27, 2017 MKK, Munich May 8-10, 2017 SCF Small Cap Forum, Frankfurt May, 17, 2017 GxP General Assembly May 31, 2017 Interim Statement Q August 31, 2017 Half Year Report 2017 November 30, 2017 Interim Statement Q Basic Data ISIN: DE000A1YCNN8 ISIN / WKN WKN: A1YCNN Scale (Frankfurt), Xetra, Stuttgart, Munich, Market segment Hamburg, Dusseldorf Share capital 69.3 m Market Cap. 1) Approx m Free float Ca. 48% Technical share re-split by combining existing share capital with a ratio of 8:1. Outstanding shares from 69.3 m reduced to 8.6 m. Sole adjustment of balance sheet within Planned share re-split equity position from subscribed capital to legal capital reserves. No distribution to shareholders. The value of the company and the amount of equity remain unchanged Shareholder Structure Free float 47,6% Management 19,7% (1) Key Investors 32,6% (1) 1) Management and key investors with lockup until

27 Appendix

28 Appendix - Profit and Loss Statement P&L in K FY 2016 Rental Income 7,861 Increase / decrease of inventory of finished goods and work in progress 10 Other operating income 61 Material expenditure (6,848) Staff costs (273) Depreciation and amortisation (1,275) Other operating expenses (4,617) EBIT (5,081) Income from investments 0 Income from other securities and financial assets 0 Other interest and similar income 56 Depreciation of financial assets and securities held as current assets 0 Interest and similar expenses (383) EBT (5,408) Taxes on income and earnings 68 Result after taxes (5,340) Other taxes 0 Consolidated net profit for the period/total comprehensive income (5,340) Non-controlling interests (64) 27

29 Appendix - Balance Sheet Asset in K FY 2016 Equity and Liabilities in K FY 2016 Current assets Inventories 2,968 Trade receivables 5,025 Securities 0 Cash and cash equivalents 11,098 Prepaid expenses and deferred charges 1,193 Deferred tax assets 0 Total current assets 20,284 Non-current assets Intangible assets 35,423 Tangible assets 92,042 Financial assets 2,174 Total non-current assets 129,639 Total Assets 149,923 Current liabilities Negative goodwill 12,552 Provisions 1,495 Trade payables 1,402 Payments received 14 Deferred income 0 Other liabilities 6,225 Total current liabilities 21,689 Non-current liabilities 63,121 Deferred tax liabilities 2,414 Total non-current liabilities 65,535 Equity Share capital 69,305 Capital reserves 0 Retained earnings 0 Income carryforward/loss carryforward (1,981) Net income/loss (5,276) Equity attributable to owners of the parent 62,048 Non-controlling interests 651 Total equity 62,699 Total Equity and Liabilities 149,923 28

30 Appendix Cash Flow Statement Cash Flow in K FY 2016 Profit or loss for the period (5,340) Amortisation and depreciation expense 1,275 Increase (+)/decrease (-) in provisions (448) Other non-cash expenses/ income (154) Increase (-)/decrease (+) in inventories, trade receivables and other assets not attributable to investing or financing activities 2,227 Increase (+)/decrease (-) in trade payables and other liabilities not attributable to investing or financing activities 1,815 Loss (+)/gain (-) on the disposal of assets 0 Loss (+)/gain (-) on the disposal of fully consolidated TU (496) Interest cost/ income 327 Profit or loss from extraordinary items 0 Income tax expenses 68 Taxes paid (1) Net cash flow from operating activities (726) Outflows for investment property (1,056) Payments made for investments in financial assets (262) Additions as the result of final consolidations 2,567 Disposals as the result of final consolidations (71,042) Cash flow from investing activities (69,793) Receipts from capital contributions 27,008 Inflows from borrowing loans 71,058 Outflows for granting loans (16,519) Interest paid (96) Cash flow from financing activities 81,452 Increase/decrease in cash and cash equivalents 10,932 Cash and cash equivalents at beginning of period 166 Cash and cash equivalents as at 31 December ,098 29