Echo Investment acquires controlling stake in leading developer in Wrocław
23:13
Echo Investment will take over a majority stake of the Wrocław-based Archicom company from its founders. Once the transaction is finalized, the Echo-Archicom group will be the largest residential developer in Poland. The company has a total of 5,700 units in its current portfolio thereof 3,800 in a land bank in Wrocław and Kraków. The design office which Archicom originates from and the remaining assets in other cities are not the subjects of the acquisition.
Echo Investment is a leading real estate developer in Poland, the only developer with extensive experience in the main sectors of the real estate market: commercial and residential for sale, as well as for rent. Echo Investment has been listed on the Warsaw Stock Exchange for 25 years. Since 2019 the majority owner of the company has been WING, one of the largest real estate companies in Hungary.
„Our group is becoming the largest developer building apartments for sale and rent in Poland. Only in 2021, we will start the construction of 7,000 apartments and having a joint existing landbank exceeding 15,000 apartments for sale to be able to start projects in the coming years. In this transaction, we see many synergies, development opportunities, and exchange of know-how. The strong brand of Archicom gives our group a leading position in an extremely attractive market, such as Wrocław. We fundamentally believe in the potential of the Polish residential market, which is more resistant to cyclical fluctuations and less capital-intensive. It is worth emphasizing that we intend to keep our business diversified. We will remain active in the commercial sector, maintaining our position amongst top 3 office developers,” Nicklas Lindberg, CEO of Echo Investment, said.
(WBJ)
