Adler - comment

Adler Real Estate’s “related party” report that it has provided a €253m upstream loan to its 97% parent Adler Group should have been a non-event. After all, Adler RE is selling its assets to provide liquidity to the remaining group. Instead, it fanned the discussion about its KPMG special report and the ongoing investigation. That has prompted the company to reiterate the KPMG report publication date - April 22nd - and ongoing speculation required Vonovia to make the most redundant statement: that it would not be launching a take-over of Adler before the publication. As a result, Adler shares are dropping today, probably as some shorts are being reset.