Instone Real Estate Group SE, a leading residential developer in Germany, has announced the early refinancing of a promissory note loan. The loan, originally issued in 2023 with maturity in October 2026 and a volume of EUR 20 million, has been repaid. A reassessment and new placement took place, resulting in an extended promissory note loan of EUR 45 million.
The arrangement and syndication of this financing transaction were handled by Sparkasse Hannover. Various institutions from the Sparkasse and cooperative banking sectors participated as lenders. This marks a strategic strengthening of the company's long-term financing structure.
Extended Volume and Renewed Trust
David Dreyfus, CFO of the Instone Group, commented on the successful placement. He emphasised that the original target volume of EUR 30 million was significantly exceeded with the final volume of EUR 45 million. This oversubscription indicates a positive assessment of Instone Real Estate's creditworthiness and business model.
Dreyfus highlighted that the high subscription volume and the participation of new financing partners, who had not previously been involved in corporate financing for the Instone Group, signal the banking sector's trust in the company's business model. This underscores the perception of Instone as one of Germany's leading residential developers and its strategic market positioning.
The successful placement not only allows the Instone Group to strengthen its funding base but also to expand its circle of long-term financing partners. This is an indicator of a stable and diversified financial architecture, which is important for future project developments.
