Germany’s biggest residential property group Vonovia, which last year lost a takeover battle for rival Deutsche Wohnen, is faring well on organic growth and not dependent on acquisitions, its chief executive said on Tuesday.
Vonovia, which manages roughly 140,000 flats in Germany, on Tuesday lifted its full-year outlook on strong second-quarter results, exceeding analyst expectations.
The group’s Chief Executive Rolf Buch said improvements in efficiency and synergies resulting from the acquisitions of portfolios were greater than anticipated, but added further takeovers were not a priority going forward.
“We are still looking at everything in Germany but we have a calm pipeline at the moment,” Buch said. “But we look at good organic growth and fare well without acquisitions.”
Vonovia shares were up 2.4 percent in pre-market trading, making it the leader of Germany’s blue-chip index DAX which was seen down 0.2 percent. (Reporting by Tina Bellon; Editing by Christoph Steitz)
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