Selling Bohlen und Doyen, €62.Mil to strengthen the market position of CTP
Back in 2007 CTP acquired a German company Bohlen & Doyen. Bohlen & Doyen has been well-known partner in the power industry, offering end-to-end services, from planning to maintenance and supervision of projects in the areas of gas, water, sewage, electricity and telecommunications lines. CTP made an asset deal worth €23.5Mil and bought the company from bankruptcy. Newly established management team, in cooperation with CTP, managed to stabilize the company and make it again a successful business.
CTP recently sold the business part of Bohlen und Doyen for 62.Mil to SAG AG (www. sag.eu). CTP agreed to keep the real estate and only sell the operational part of the company. The sale was approved by anti-monopoly authorities and CTP closed the transaction on Friday October 22nd, 2010. This transaction allows CTP to do earlier repayments to some of our business loans ending with more favourable conditions. A significant portion of this
€62.Mil will be used to finance CTP’s pipeline. CTP is pleased with this transaction with SAG, it has a very positive impact on CTP core business and growth plans. CTP plans to enlarge its portfolio of properties by approx. 8% each year, this means an average more than 120 000 m2 of new letable area will be built per
year within the Czech Republic in our core business regions such as CTPark Plzeň, CTPark Brno (second phase), and our well known CTPark Ostrava. CTP continues to see existing tenants expanding their operations. Projects for 2011 are now being prepared. Newly built properties within our CTParks are pre-leased, most of which are our existing tenants wanting to expand and utilize CTP’s extensive land bank, property management and organization. Current vacancy within the CTP portfolio is 8%. This year’s rental income will reach €96.Mil. CTP will continue to maintain its position as market leader in the Czech Republic in terms of the amount of space owned and operated.