DEMIRE: Annual General Meeting approves all agenda items with a clear majority

- Stable development allows first dividend payment for the 2019 financial year

- Outlook for the 2020 financial year confirmed

Langen, 22 September 2020 - The virtual Annual General Meeting of DEMIRE Deutsche Mittelstand Real Estate AG today approved the first-time distribution of a dividend of 54 Eurocents per share for the 2019 financial year, as proposed by the Management Board and the Supervisory Board, with a clear majority. All other items on the agenda were also approved by a clear majority of the shareholders.

According to Ingo Hartlief, Chairman of the Board of Management of DEMIRE, the decisive factor of the dividend decision was both the very good development of the company in 2019 and the continuing extremely solid performance in the current financial year. "We have done our homework in 2019: our balance sheet structure proves us to be a financially strong company and a reliable business partner," Hartlief elaborated to the shareholders in his Annual General Meeting speech. The course of the 2020 financial year so far has also evidenced that DEMIRE is successfully meeting the challenges posed by the COVID 19 pandemic in particular. According to the Chairman of the Board of Management, the company's business strategy, which was presented to shareholders last year as "REALize Potential", makes a particular contribution to this. Hence the company understands a low-risk business model that combines a diversified portfolio with conservative risk profiles, favourable financing conditions and a correspondingly clearly defined acquisition approach. According to Hartlief, this allows the company to generate sustainable growth that will enable it to pay a dividend even in these difficult times. At the same time, the Management Board confirmed that the results for the 2020 financial year will be exceeding those of the previous year.

Ingo Hartlief explained to the shareholders, that DEMIRE is therefore in the comfortable position of being able to pay a larger dividend without lacking the funds for strategic business measures and the noticeable growth that can be achieved as a result. The shareholders approved the dividend payment with 99.99 percent of the voting capital.

In order to further strengthen the company's strategic position, the shareholders, representing 99.97 percent of the voting capital, once again voted in favour of authorising the company to purchase its own shares, following the successful implementation of a corresponding programme in July of the current financial year. Shareholders also approved the creation of new Conditional Capital with 99.72 percent of the voting capital.

The first virtual Annual General Meeting of DEMIRE Deutsche Mittelstand Real Estate AG was attended by 91.07 percent of the registered capital.

About DEMIRE Deutsche Mittelstand Real Estate AG

DEMIRE - REALize Potential

DEMIRE Deutsche Mittelstand Real Estate AG acquires and holds commercial real estate in mid-sized cities and up-and-coming locations bordering metropolitan areas across German. The Company's particular strength lies in realising the potential of the properties at these locations while focusing on a range of properties that appeals to both regional and international tenants. As of 30 June 2020, DEMIRE's portfolio contains of 84 assets with lettable space totalling more than 1 million sqm and has a market value in excess of EUR 1.5 billion.

The portfolio's focus on office properties with a blend of retail, hotel and logistics properties results in a return / risk structure that is appropriate for the commercial real estate segment. The Company places importance on long-term contracts with solvent tenants and the realisation of the properties' potential. DEMIRE anticipates continued stable and sustainable rental income along with solid value appreciation and expects the portfolio to grow significantly in the medium term. As it expands its portfolio, DEMIRE is concentrating on FFO-strong assets with potential and, at the same time, disposing of properties that are not in line with its strategy. DEMIRE is taking several steps to further the development of its operations and processes. Next to cost consciousness, the operating performance is set to improve through an active asset and portfolio management approach.

DEMIRE Deutsche Mittelstand Real Estate AG shares are listed in the Regulated Market (Prime Standard segment) of the Frankfurt Stock Exchange.

Contact:
Michael Tegeder
Head of Investor Relations & Corporate Finance
DEMIRE Deutsche Mittelstand Real Estate AG
Fon: + 49 6103 3724944
Email: [email protected]