EPH Group AG Announces German Market Entry with New Hotel Projects

EPH Group AG plans to enter the German market with two new hotel developments in Bavaria. This move is part of EPH's strategy to expand beyond Austria. The projects include a modern design hotel with 220 beds on a 7,000 sqm lakefront and a boutique hotel on a 4,500 sqm elevated site. Both locations aim to attract different guest segments.

EPH targets an international operator for these projects to ensure long-term value. The purchase price is in the low double-digit million euro range, with a portion settled through EPH shares. This follows their capital-light model, involving land enhancement and structured exits.

While acquisitions are not finalized, EPH signals regional growth ambition. A larger equity raise is anticipated to increase financial flexibility. A future dividend policy with a 30% payout ratio is also planned once profitable. The "BUY" rating with a €102 target price remains unchanged.