Deutsche Beteiligungs is buying back 10% of its at E12.5 per share via a tender offer to all shareholders, involving some 1,866,666 shares. The buy back has been triggered by a surplus cash flow, which has resulted from a number of successfully exited investments this year that achieved higher multiples than previously anticipated. They include Hormann KG, schlott gruppe AG and Babcock Borsig Service AG.
Deutsche Beteiligungs anticipates that future realisations and the liquidity remaining once the share buy back is complete will cover the financing requirements of its investment activity. “Through the share buyback programme, we will be investing in the company’s existing portfolio below the current net asset value,” said Wilken von Hodenberg, speaking on behalf of the board. The board plans to retire the shares repurchased by way of the offering without reducing the share capital and so the net asset value per share will increase, it is thought by 1% or E0.15 per share.