Homes & Holiday AG
Homes & Holiday AG: Subsidiary Porta Holiday faces significant improvement in sales and earnings with planned acquisition
Homes & Holiday AG / Key word(s): Mergers & Acquisitions
Homes & Holiday AG: Subsidiary Porta Holiday faces significant improvement in sales and earnings with planned acquisition
– Preliminary contract concluded for the takeover of a holiday rental company in Mallorca – Partner’s 2018 targets: booking volume >4 million euros; net sales >700,000 euros; profitability – Partial purchase price payment through non-cash capital increase at a valuation of EUR 2.50 per share Munich/Palma de Mallorca, 03. September 2018. Holiday property specialist Homes & Holiday AG (ISIN: DE000A2GS5M9) is implementing the buy and build strategy announced at the IPO: To accelerate growth, it today signed a preliminary agreement to take over a holiday rental company and its subsidiary in Mallorca. The aim is to merge with the subsidiary Porta Holiday, which is also active in this area. With almost 1,000 properties, the new group of companies would be one of the leading holiday rental companies in Mallorca. Together, it could be possible to exploit growth opportunities and leverage synergies more consistently in the coming years. The parties aim to conclude the binding purchase agreement for the transaction by the end of September 2018 at the latest. The acquisition would significantly improve Porta Holiday’s sales and earnings situation and make a noticeably positive contribution to the development of the entire Homes & Holiday Group. The merger partner has been firmly established in Mallorca for years, is profitable, debt-free and has a clear growth strategy. The partner’s goal for 2018 is to achieve a gross booking volume of more than EUR 4.0 million and net commission revenues of more than EUR 700,000. Earnings before taxes (EBT) should also be positive. For classification: The gross booking volume of Porta Holiday in 2017 – i.e. before the takeover of easyFinca’s property portfolio in the first half of 2018 – was around 860,000 euros. So far, analysts had expected Porta Holiday to break even in 2021. This should be achieved earlier with the takeover. Part of the purchase price is to be paid in Homes & Holiday AG shares, thus protecting liquidity. To this end, a non-cash capital increase of 195,888 new shares in Homes & Holiday AG is planned. The share capital of Homes & Holiday AG currently amounts to 12,614,724 shares. The valuation of the new shares at EUR 2.50 per share corresponds to the issue price at the time of the IPO in July 2018, and there is also an obligation (lockup) to hold the new shares for a minimum period of one year. The parties have agreed not to disclose the amount of the cash component of the purchase price – 54% of which is linked to defined earnings targets for 2018 and 2019. Homes & Holiday AG About Homes & Holiday AG Contact: Investor Relations & Financial Press
03-Sep-2018 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. |
Language: | English |
Company: | Homes & Holiday AG |
Ludwigstraße 8 | |
80539 Munich | |
Germany | |
Phone: | +49 211 86 81 57 30 |
E-mail: | info@homes-holiday.com |
Internet: | www.homes-holiday.de |
ISIN: | DE000A2GS5M9 |
WKN: | A2GS5M |
Listed: | Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt, Munich (m:access) |
End of Announcement | DGAP News Service |