Pandion announces a bond with a volume of 50 million euros. The bond has a term of five years, the annual interest rate has not yet been determined. The interest margin is 5.5 percent to 5.75 percent. After the end of the subscription period, the Cologne-based company will announce the exact interest rate. Investors can subscribe to the real estate company’s paper from October 20th to October 26th. The bond is scheduled to start trading on October 30th in the Open Market in Frankfurt.
Pandion has existed for 18 years and is one of the top 5 developers of residential real estate in Germany. The focus is on high-quality residential projects in German A cities. So far, around 7,100 residential units have been developed and sold. These have a living space of more than 300,000 square meters.
In 2019, the total output was 509 million euros, the EBITDA came to 44.9 million euros. In 2020, EBITDA is expected to rise to more than 85 million euros. A profit of more than 45 million euros is also expected. 2020 could therefore be a record year for Pandion.
Pandion wants to grow further with the fresh money from the bond. The purchase of new land is planned. Money is also to be invested in further project development.
Pandion’s project pipeline includes 36 projects with a sales volume of 4.3 billion euros. These include 23 residential projects and 10 commercial projects. The land required for this is owned by Pandion. In the future, Pandion also wants to develop larger quarters. So the former Max Becker site in Cologne-Ehrenfeld was bought. There they want to build a city quarter with more than 1,300 new apartments. 2,300 jobs, a school and several daycare centers are also to be created there.
Reinhold Knodel, CEO of Pandion, wants to further diversify Pandion’s financing structure with the new bond. He adds: “After a short corona-related phase of decline in demand in April and May, we are now registering high demand for our apartments again and are now at pre-Corona levels. In our office projects, too, we hold promising letting talks with numerous, well-known interested parties and have achieved further deals in the Corona phase. “
The issue is being accompanied by IKB Deutsche Industriebank.