Report ESPI 22/2021
Management Board of the Berg Holding S.A. with its registered office in Katowice [Company, Issuer] informs about planned business strategy of the Issuer’s subsidiary – Śląskie Kamienice S.A. based in Katowice [Śląskie Kamienice, Subsidiary] for the years 2021-2023.
Śląskie Kamienice, in which the Issuer acquired 100% of shares, was established by Berg Holding on August 5, 2020, about which the Company informed in the ESPI current report No. 75/2020.
The main activity of Śląskie Kamienice includes investments on the real estate market [in particular in tenement houses] through the purchase of real estate, renovation or modernization [including renovation of the facade, roof, utility installations, heating networks and common areas], sale of a tenement house or previously separated premises, as well as, at the clients request, furnishing the apartments with the necessary furniture and household appliances.
The subsidiary strategy for 2021-2023 includes:
1. Opening up to the local markets of the Silesian Agglomeration and larger cities in Poland.
2. Construction of the first development housing estate.
3. Purchase of three more tenement houses.
4. Openness to foreign investors.
The subsidiary plans to operate based on a flexible model of cooperation, i.e. participation in the purchase contribution, investment
costs and profit distribution, at all stages at the level of: 60% Śląskie Kamienice, 40% Investor.
The main sales assumptions of the presented strategy assume the achievement of sales revenues, respectively approx.15 million PLN in 2021, approx. 20 million PLN in 2022 and approx. 45 million PLN in 2023.
The Issuer will inform about updates or changes to the information covered in this report by way of relevant current reports.