EANS-Adhoc: Vivacon AG executes an increase in capital through contributions in kind and reaches composition settlements with significant principal creditors

ad-hoc disclosure pursuant to section 15 of the WpHG transmitted by euro adhoc with the aim of a Europe-wide distribution. The issuer is solely responsible for the content of this announcement.


Cologne, April 27th 2010. Vivacon AG (ISIN 000604 8911) has reached composition settlements with significant principal creditors, which will make sustained financing and liquidity planning for future business operations possible. In future Vivacon AG will once again be focussing its business operations entirely on its core competence in the hereditary building right segment. In addition to the investments in leasehold land and the sale of real estate on the basis of hereditary building right, henceforth the operations will also include various services in the context of the management, administration and financing, of real estate and leasehold land for third parties.

With the conclusion of the settlement negotiations, the cost reductions already made including marked savings in personnel and the sale of development projects, the interest in Curanis Holding GmbH as well as various property portfolios over the last few months, significant measures have been taken to safeguard the liquidity and to recapitalise the entire business group.

The settlements are based on a recapitalisation expertise audited in accordance with Standard No. 6 of the German Independent Auditors Institute (IDW S6) and issued with a positive continuation prediction. An integral component of the continuing restructuring efforts and the basis of all settlements reached with the principal creditor banks is an increase in the share capital which has been executed through the transformation of a partial amount of a convertible bond into net assets in the context of a debt for equity swap. For this purpose Vivacon AG has passed a resolution to increase capital through contributions in kind with partial utilisation of the Authorized Capital under exclusion of shareholders´ subscription rights and admitted Saxon S.à.r.l., Luxembourg for subscription. Saxon S.à.r.l. has contributed a partial receivable in the nominal aggregate amount of EUR 18.6 m from the termination of the convertible bond issued on 28 April 2008 in the total aggregate amount of EUR 24 m. (ISIN DE 000A0 SFX67) which was purchased from Credit Suisse Securities (Europe) Limited and contributed to Vivacon AG. After registration of the capital increase through contributions in kind Vivacon AG´s share capital amounts to EUR 25,985,216.00. Therefore Saxon S.à.r.l. has a stake of around 23.48% in the share capital of Vivacon AG.

In the wake of the recapitalisation the insolvency applications for the property subsidiaries in Salzgitter and Kassel have also been withdrawn in the meantime. The stocks are, however, still under the institutional management of the financing bank. The company will report in detail to its shareholders on the recapitalisation and the future goals of business operations in the hereditary building right segment at the extraordinary general meeting due to be held on May 21, 2010.

end of announcement euro adhoc

issuer: Vivacon AG Im Zollhafen 2-4 D-50678 Köln phone: +49 (0)221 1305621-781 FAX: +49 (0)221 1305621-952 mail: ir@vivacon.de WWW: http://www.vivacon.de sector: Real Estate ISIN: DE0006048911 indexes: CDAX

stockmarkets: free trade: Berlin, Hamburg, Stuttgart, Düsseldorf, München, regulated dealing/general standard: Frankfurt
language: English

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Telefon: +49 (0)221 1305621-0
E-Mail: ir@vivacon.de