AG Acquisition of LBBW Immobilien GmbH

PATRIZIA Immobilien AG: LBBW Board of Directors and LBBW Supervisory Board favor sale of LBBW Immobilien GmbH to consortium led by PATRIZIA Immobilien AGAugsburg, February 13, 2012. PATRIZIA Immobilien AG (ISIN DE000PAT1AG3) has been informed by LBBW that the Board of Directors and the Supervisory Board of LBBW have decided to award the contract for the sale of LBBW Immobilien GmbH and its subsidiaries to a consortium of investors led by PATRIZIA Alternative Investments GmbH, a wholly-owned subsidiary of PATRIZIA Immobilien AG.

The investor consortium led by PATRIZIA Alternative Investments GmbH consists of a number of national and international investors with a long-term focus. PATRIZIA Immobilien AG will participate as an equity investor in a likely amount of up to EUR 15 million. After the transaction has been completed, PATRIZIA Immobilien AG and the companies associated with it will render management and property-related services at market conditions to the acquisition companies as well as LBBW Immobilien GmbH and its subsidiaries. Leonardo & Co represented Landesbank Baden-Württemberg, the seller of LBBW Immobilien GmbH.

In the past LBBW was active on the other side of several of their transactions either as principal or financier on the deal. Ulrich Graebner, Managing Director, Head of Real Estate Europe Tobias Rieg, Executive Director, Project Leader, he commented: “The transaction was executed according to the requirements of the EU Commission who had required the sale of LBBW Immobilien GmbH. Furthermore the deal was characterized by extensive preparation including a complex carve-out process. We overcame these challenges by communicating proactively with all relevant parties and providing exemplary process documentation that left nothing to wish for.  In addition - to address political concerns in the context of the privatization of a former social housing company - we provided a social charter that all investors had to adhere to upon acquisition of LBBW Immobilien.”