Korian Demonstrates the Relevance of its Asset Smart Strategy through a Partnership with BNP Paribas Cardif and EDF Invest
30 Décembre 2020 - 5:45PM
Business Wire
- BNP Paribas Cardif and EDF Invest invest € 336 million into
a real estate vehicle controlled by Korian owning 81 European
healthcare assets contributed at its appraised value
- Long term partnership covering about a third of Korian’s
portfolio
- Multiplies the capacity of Korian to invest in real estate
going forward
- Improvement of Korian’s operational leverage
- Korian also confirms a strong momentum of its real estate
pipeline with 100 projects to be completed by 2025 (in addition to
the Ages&Vie projects)
Regulatory News:
Korian (Paris:KORI), the leading European care services group
for elderly and fragile people, has concluded a long term
investment partnership with BNP Paribas Cardif and EDF Invest in a
real estate structure controlled and managed by Korian.
This specific vehicle owns 81 assets across France, Germany,
Belgium and Italy, with a value of around one billion euros. The
high quality portfolio, included nursing homes and clinics, around
a third of which have been built or renovated within the last 5
years and around half are situated in major urban areas in Europe
(Paris, Rome, Lyon, Bruxelles, Düsseldorf...).
BNP Paribas Cardif and EDF Invest have invested a total of 336
million euros, each investing half of the amount, representing 49%
of the real estate vehicle. The long term partnership of 15 years
with a possible extension, has a minimum lock up of 7 years for the
investors. The expected remuneration around 4.5% per annum, with a
guaranteed yield for BNP Paribas Cardif and EDF Invest regardless
of market evolution, and with a cap on the yield when the investors
exit, that means Korian will benefit should there be any
significant increase of the value of real estate portfolio over the
long term.
This operation allows Korian to accelerate further investment in
its real estate solutions for residential and medical care.
Korian’s Asset Smart strategy implemented in 2016, has seen the
Group develop real estate projects using internal expertise,
increase the value of its portfolio by about 2.5 times and enter
into partnerships with land developers and investors.
In coherence with this strategy, Korian has built up a pipeline
of real estate projects with 100 projects presently in construction
(in addition to the Ages&Vie
projects) representing around 10,000 beds to be available by 2025.
Korian expects to keep ownership of around 50% of these projects
representing an investment value of 600 million euros.
As of 30 June 2020 the Group owned 23% of the real estate of its
network representing around 2.3 billion euros, leveraged at a loan
to value rate of 55% in line with the Group’s prudent financial
policy. Korian‘s objective is to maintain the control of its real
estate assets so as to ensure flexibility and participate in the
value creation of the assets operated by Korian.
About Korian
Korian, the leading European care services group for elderly and
fragile people. www.korian.com
Korian has been listed on Euronext Paris
Section A since November 2006 and is included in the following
indices: SBF 120, CAC Health Care, CAC Mid 60, CAC Mid & Small
and MSCI Global Small Cap Euronext ticker: KORI - ISIN:
FR0010386334 – Reuters: KORI.PA – Bloomberg: KORI.FP
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INVESTOR RELATIONS Sarah Mingham VP Investor
Relations & Financing sarah.mingham@korian.com Tel: +33 (0)1 55
37 53 55
Carole Alexandre Deputy Head of Investor Relations
carole.alexandre@korian.com Tel: +33 (0)7 64 65 22 44
MEDIA CONTACTS Jean-Marc Plantade Head of Press
Relations jean-marc.plantade@korian.fr Tel: +33 (0)7 62 90 32
58
Cyrille Lachèvre Deputy Head of Press Relations
cyrille.lachevre@korian.fr Tel: +33 (0)7 61 53 54 86
Marjorie Castoriadis Head of Media Relations
marjorie.castoriadis@korian.fr Tel: +33 (0)7 63 59 88 81