BENI STABILI SPA Beni Stabili: New strategic agreement for Beni Stabili with two major international investors (Crédit Agricole Assurances and EDF Invest) on Telecom Italia portfolio

Transparency directive : regulatory news

16/11/2016 17:35

New strategic agreement for Beni Stabili with two major international
investors (Crédit Agricole Assurances and EDF Invest) on Telecom Italia
portfolio

Milan - 16 November 2016: Beni Stabili, the leading property company in the
Italian real estate sector, has defined terms to set up the largest Italian
Real Estate SICAF to which the Group will contribute all of its Telecom Italia
portfolio (EUR1,543 million, based on the appraisal values established at the
end of June 2016) along with the associated debt (EUR810 million).

Beni Stabili will keep 60% of the share capital of this new regulated
investment vehicle, while two major international investors, Crédit Agricole
Assurances, and EDF Invest, the investment division of the EDF Group, will each
acquire from Beni Stabili a 20% stake in the SICAF. Both the incorporation of
the SICAF and the acquisition of the 20% stakes by each of C édit Agricole
Assurance and EDF Invest are subject to the authorization from the Bank of
Italy. Subject to the relevant authorization, the SICAF shall be incorporated
in early 2017.

The 145 properties to be contributed to the SICAF have an average gross yield
of 6.4% (5.8% net). For this portfolio, the leases have fixed terms of 14 years
on average, following the 2015 leases renegotiation which extended their
average maturities by 9 years firm. Beni Stabili will be the majority
shareholder in the SICAF and will provide real estate services to the
investment vehicle.

This landmark transaction confirms the appeal of Italian real estate for
long-term international investors and constitutes a key stage in the strategy
initiated by Beni Stabili at end-2015:

- Diversifying further its tenant base. Four years ahead of its 2020 goal,
  Beni Stabili almost achieves its tenant diversification target with a Telecom
  Ital a exposure, that will be 28% of its portfolio after the SICAF operation
  and provide with a good balance between prime offices and TI solid and
  long-term cash-flows. When Beni Stabili announced its strategic targets with
  its FY 2015 results, it had 41% of its portfolio in value rented to Telecom
  Italia.

- Strengthening capital structure. After this transaction, which represents
  an equivalent  of around EUR620 million of Telecom Italia assets, the LTV
  will be below 45% vs 50% at end-June 2016.

- Increasing its exposure in Milan, with 58% of the portfolio vs 51% at
  end-June 2016 and a 80% target by 2020. In that respect, the creation of the
  SICAF also bows well with the Beni Stabili's strategy to focus on Milan.

Alexei Dal Pastro, General Manager of Beni Stabili, said: "This is a
transformational transaction for Beni Stabili, a real success for the team and
a strong positive sig   al for the Italian market. With this transaction, Beni
Stabili is significantly reshaping its real estate and financial profile and is
entering a new stage of its strategy."

For more information:

Beni Stabili Siiq
Investor Relations - Barbara Pivetta - +39.02.3666.4682 -
barbara.pivetta@benistabili.it
Media Contact - Barbara Ciocca - +39.02.3666.4695 -
barbara.ciocca@benistabili.it SEC and partners Srl

Matteo Steinbach - +39.346.1063989 - steinbach@secrp.it
Michele Calcaterra - + 39.335.461985 - calcaterra@secrp.it

Beni Stabili Siiq, a leading property company in the Italian real estate
sector

Beni Stabili is the leading property player in the Italian real estate market
with total assets of 4.0 bn euro. Our assets portfolio is sited in key
locations of North and Central Italys major cities and consists mainly of
offices. We pursue th appreciation of our ass  ts to increase profitability
and create value for our clients, partners and shareholders.

As a major player in office investment and development, we foster pioneering
solutions to improve the environmental performance of our buildings for the
well-being of our clients' employees. With this is mind we are developing in
Milan a new business area dedicated to smart working: Symbiosis.

Beni Stabili is listed on the Milan and Paris Stock Exchanges and operates
through its main offices of Milan and Rome. Beni Stabili belongs to the
Foncière des Régions group, a leading real estate  player in Europe who
owns  an manages an 18bn euro portfolio located in the most attractive
metropolitan cities of France, Germany an Italy

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21/12/2018 14:57

BENI STABILI SPA Beni Stabili: New strategic agreement for Beni Stabili with two major international investors (Crédit Agricole Assurances and EDF Invest) on Telecom Italia portfolio

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