Strong Share Price Development
Vonovia’s shares significantly outperformed the German leading index, the DAX, in the course of the year. In the 2017 fiscal year, Vonovia’s share price rose by approximately 33.9%, climbing from a closing price of € 30.91 on December 31, 2016, to a closing price of € 41.39 on December 29, 2017.
Vonovia’s shares benefited not only from positive business development but also from the sustained low interest rate environment and the high demand for German real estate stocks. On December 18, 2017, the day on which Vonovia SE announced the planned takeover of BUWOG, Vonovia’s shares rose to a new all-time high of € 41.88.
We believe that the environment – which is characterized by an imbalance between high demand for, and a short supply of, affordable housing in urban locations, the ongoing environment of low interest rates and a continued keen interest in the German real estate sector – remains positive.
Vonovia’s market capitalization amounted to € 20.1 billion at the end of the year.