Half-Year Report 2019

14 Total Equity

Development of the Subscribed Capital

in €




As of Jan. 1, 2019


Capital increase against cash contributions on May 16, 2019


Capital increase against non-cash contributions on June 13, 2019 (scrip dividend)


As of June 30, 2019




Development of the Capital Reserves

in €




As of Jan. 1, 2019


Premium from capital increase on May 16, 2019


Premium from capital increase for scrip dividend on June 13, 2018


Transaction costs on the issue of new shares (after allowing for deferred taxes)


Other changes not affecting net income


As of June 30, 2019




On May 16, 2019, with the agreement of the Supervisory Board’s Finance Committee, Vonovia SE increased the share capital in return for a cash contribution by € 16,500,000.00 to € 534,577,934.00, partially using the 2018 authorized capital and excluding a subscription right of € 518,077,934.00.

The 16,500,000 new no-par-value registered shares were placed with institutional investors in the scope of a private placement by means of an accelerated book building procedure and carry dividend rights as of January 1, 2019.

The shares were granted at a placement price of € 45.10 per share, delivering issue proceeds to Vonovia SE in the amount of € 744.2 million before commission and expenses. The plan is to use the net proceeds from the capital increase to refinance the acquisition of a Swedish real estate portfolio by Vonovia’s Swedish subsidiary, Victoria Park AB, at Group level and to finance future growth, with the remaining portion being used for general business purposes.

The Annual General Meeting held on May 16, 2019, resolved to pay a dividend for the 2018 fiscal year in the amount of € 1.44 per share.

As in previous years, shareholders were offered the option of choosing between being paid the dividend in cash or being granted new shares. During the subscription period, shareholders holding a total of 45.8% of the shares carrying dividend rights opted for the scrip dividend as opposed to the cash dividend. As a result, 7,695,677 new shares were issued using the company’s authorized capital pursuant to Section 5b of the Articles of Association (“2018 authorized capital”) at a subscription price of € 44.352 per share, i.e., a total amount of € 341,318,666.30. This means that the total number of Vonovia’s shares has increased to 542,273,611. The total amount of the dividend distributed in cash came to € 404,713,558.66.

The changes in the equity instruments at fair value in other comprehensive income are mainly due to the sale of around 16.8 million shares in Deutsche Wohnen SE with effect from February 1, 2019 to institutional investors as part of an accelerated book building procedure at a price per share of € 41.50. This corresponds to a customary market discount of 4.8% on the closing price of € 43.59 as of January 31, 2019. This results in total proceeds of € 698.1 million.

Changes in other comprehensive income during the period in the amount of € 30.1 million are mainly due to the increase in the price of the shares in Deutsche Wohnen SE up until the time of the sale. The total profit of € 292.6 million was reclassified, without affecting net income, from other reserves to retained earnings pursuant to the designation under IFRS 9 when the transaction was completed.

Fair Value
Valuation pursuant to IAS 40 in conjunction with IFRS 13. The estimated value of an asset. The fair value is the amount for which an asset could be exchanged between knowledgeable, willing parties in an arm’s length transaction.