Domicil Real Estate AG has successfully completed its capital increase of EUR 10 million. 70 percent of the new capital was subscribed by a company of the Rock Capital Group. A further 30 percent will be held by existing shareholders, including Baywobau and Roland Berger Industries. With the additional equity, Domicil is expanding its financial leeway for further purchases of residential real estate for privatisation. In this way, the company intends to further expand its core business and make residential real estate accessible to a broader target group as a component of private pension provision. Other shareholders are the private bank Donner & Reuschel AG, the Versicherungskammer and Die Bayerische.
"With the capital increase, we are strengthening our financial basis and expanding our scope for new acquisitions. Especially in the current market, we see attractive opportunities again to acquire residential portfolios and prepare them for individual sale to private investors," says Klaus Schmitt, CEO of Domicil Real Estate AG. "We have a very good market position and optimal conditions for strong growth. Our shareholders appreciate our business model, which enables strong downside protection with current rental income and attractive returns with our privatization profits."
"Domicil has successfully established itself as a renowned blue-chip residential investor and complements Rock Capital Group's investment portfolio both entrepreneurially and strategically. For both companies, our extensive real estate portfolio as well as Domicil's business model and sales structures result in considerable synergy potential.
We are therefore very much looking forward to this new chapter and to actively driving the further development of Domicil together," emphasizes Christian Lealahabumrung, founder and managing partner of Rock Capital Group.
Continuity in the Management Board
In addition to the capital increase and the expansion of the shareholder base, Domicil is focusing on continuity. Klaus Schmitt's mandate has been extended ahead of schedule until 31 December 2027. This means that the existing three-member board of directors consisting of Klaus Schmitt, Daniel Preis and David Hofmann will continue its joint work with an unchanged composition. Schmitt has been a member of the Executive Board since August 2023 and was previously Chairman of the Supervisory Board.
With the contract extension, the departmental responsibilities on the Executive Board will also be redefined. Klaus Schmitt will act as Spokesman of the Management Board as well as COO and CFO in the future. Daniel Preis will continue to be responsible for the sale of individual apartments as CSO, while David Hofmann will continue to be responsible for the further development of the company as CDO.
"With Klaus Schmitt, Daniel Preis and David Hofmann, Domicil has a well-rehearsed management team that has successfully driven the development of the company forward in recent years. With the extension of Klaus Schmitt's mandate, we are focusing on continuity in management. At the same time, the capital increase creates additional financial leeway to continue the growth course we have embarked on," says Prof. Dr. Georg Erdmann, Chairman of the Supervisory Board of Domicil Real Estate AG.
