Adler acquires ADO Group for €708m

Frankfurt-listed residential landlord Adler has acquired all the shares in Ado Group, a Tel Aviv–listed holding company and shareholder in German residential player Ado Properties, for €708 million ($778 million).

Following this acquisition, Adler will hold a 33 percent stake in Ado Properties.

Tomas de Vargas Machuca, co-CEO and chairman of the executive committee at Adler, commented, “This purchase has an attractive entry price below ADO Group's EPRA NAV. This represents a highly attractive transaction on value per square meter and a considerable discount to privately traded Berlin residential portfolios. The acquisition also provides longer term opportunities to generate sustainable shareholder value.”

Adler's current portfolio totals 5,800 units, together with some related commercial units and parking spaces. It provides significant upside potential in B locations primarily through yield compression and rental growth. This transaction adds high-quali