Aroundtown SA Navigates a Resilient Debt Strategy Amid a Shifting Real‑Estate Landscape

Aroundtown SA, the Luxembourg‑based real‑estate investment and management firm listed on the SIX Swiss Exchange, has recently completed a sizable debt‑issuance programme that underscores its strategic approach to capital structure and growth. In late January 2026, the company announced the successful placement of €750 million in perpetual notes—an un‑issued, long‑term bond that provides a permanent source of financing without a scheduled maturity date.

Perpetual Notes: A Flexible Funding Tool

The notes were sold under a tender offer, enabling the company to secure funds at a competitive spread while maintaining liquidity for future acquisitions and refinancing needs. Perpetual instruments are attractive in an environment where interest rates remain volatile; they allow the issuer to lock in a fixed cost of debt while retaining the option to call or redeem the notes in the future. For Aroundtown, the €750 million injection supplements its existing debt portfolio and supports its ongoing real‑estate expansion across Europe.

Market Context and Investor Sentiment

The issuance coincided with a modest uptick in the MDAX, the German mid‑cap index, which recorded a slight rise of 0.22 percent at the close of trading on 28 January. Although the broader European equity markets were experiencing a cautious recovery after the turbulence of the last few years, Aroundtown’s announcement was well‑received by analysts. Two research reports issued on 30 January by First Berlin Equity Research GmbH recommended a Buy rating for the shares, citing the company’s strong fundamentals and the improved debt profile.

Historical Performance and Future Outlook

While the firm’s shares have recovered from a deep trough following the 2019‑2020 real‑estate downturn, a retrospective study from 29 January revealed that an investment in Aroundtown five years earlier would have suffered significant losses. This underscores the volatility inherent in the sector and highlights the importance of prudent capital management. By securing a substantial amount of perpetual debt, the company aims to mitigate refinancing risk and maintain a robust balance sheet as it pursues new assets.

Key Financial Metrics

  • Market Capitalisation: CHF 3.97 billion
  • Price‑to‑Earnings Ratio: 3.54
  • Primary Exchange: SIX Swiss Exchange (CHF denominated)

These figures reflect a company positioned within the lower end of the earnings‑valuation spectrum, suggesting potential upside if the real‑estate market continues its gradual recovery. The recent debt issuance further strengthens this view by reducing the company’s leverage ratio and extending its debt maturity profile.

Conclusion

Aroundtown SA’s €750 million perpetual notes issuance marks a decisive step toward stabilising its capital structure while keeping options open for future growth. Coupled with a cautious but improving market environment and a Buy recommendation from a respected research house, the company’s trajectory points toward a more resilient positioning in the evolving European real‑estate landscape.