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Vonovia SE To Buy Bien-Ries For Undisclosed Terms; Stock Down

Vonovia SE (DAIMF), a German residential property company, announced Thursday that it entered into a purchase agreement to acquire Bien-Ries AG.

The transaction is scheduled for completion in early April after approval by the antitrust authorities.

Vonovia expects the project developer with a focus on the Rhine-Main region will complement the development business in Germany as part of BUWOG.

Bien-Ries is currently running 11 projects with a total of around 2,500 planned residential units. It is planned that around 900 apartments in the current pipeline will be transferred to Vonovia's portfolio as rental apartments after completion. The focus of the projects is in the Rhine-Main region, where Vonovia has around 27,500 apartments.

Wolfgang Ries, board member and co-founder of Bien-Ries said, "We are pleased that with the sale to Vonovia we are ushering in the next phase in the company's development and at the same time offering our employees security."

In Germany, Vonovia shares were trading at 52 euros, down 2.15 percent.

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