EANS-News: GSW Immobilien AG / GSW successfully completes capital increase

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Capital measures/Capital increase

Berlin (euro adhoc) - THE INFORMATION CONTAINED IN THIS PRESS RELEASE
IS NOT FOR PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR
INTO THE UNITED STATES OF AMERICA, AUSTRALIA, CANADA OR JAPAN

GSW successfully completes capital increase

* Existing shareholder subscription quota amounts to 99.72 % * New
shares are fully entitled to dividends for the 2011 fiscal year *
Gross issue proceeds of approximately EUR 201.8 million * Successful
capital increase ensures future growth and financial flexibility

Berlin, May 3, 2012 - GSW Immobilien AG successfully completed its
capital increase against cash contributions with indirect
subscription rights for existing shareholders as resolved by the
Company on April 17, 2012. The existing shareholders purchased 99.72
% of the offered new shares at a subscription price of EUR 21.30 per
share. The remaining new shares, for which subscription rights were
not exercised, were sold on the stock exchange.

Thomas Zinnöcker, Chairman of the Board of Management, was very
pleased: "The successful placement and the wide acceptance by our
shareholders show that the capital market appreciates the stability
and continuity of GSW's business model. Our business model combines
sustained growth with an attractive dividend policy. The additional
equity capital enables us to further advance this strategy and to let
our shareholders participate in the Company's performance."

With the entry of the implementation of the capital increase in the
commercial register (Handelsregister) on April 27, 2012, the
Company's registered share capital (Grundkapital) has increased from
EUR 41,042,630 by EUR 9,473,684 to EUR 50,526,314 against cash
contributions through the issue of 9,473,684 new ordinary bearer
shares. The new shares each carry full dividend rights as of January
1, 2011. As of today, May 3, 2012, the new shares have been included
in the existing listings of the Company on the regulated markets of
the Frankfurt and Berlin Stock Exchanges.

The Company received gross issue proceeds of approximately EUR 201.8
million from the capital increase. GSW intends to use the net issue
proceeds of approximately EUR 190.3 million for future acquisitions
and to optimise its strategic and financial flexibility.

Berenberg Bank, BofA Merrill Lynch and Deutsche Bank acted as Joint
Global Coordinators and Joint Bookrunners in the capital increase.
Kempen & Co. and UniCredit Bank AG acted as Joint Lead Managers in
the capital increase.

Contact
GSW Immobilien AG
Charlottenstraße 4
10969 Berlin, Germany

Press
Thomas Rücker
E-Mail: thomas.ruecker@gsw.de
Tel.: +49. (0) 30. 25 34-13 32
Fax: +49. (0) 30. 25 34-19 34

Investor Relations
Sebastian Jacob

E-Mail: sebastian.jacob@gsw.de
Tel.: +49. (0) 30. 25 34-18 82
Fax: +49. (0) 30. 25 34- 233 1960

Key data of the capital increase by subscription rights at a glance:
Subscription price: EUR 21.30; Subscription ratio 99.72 %; Number of
new shares: 9,473,684; Gross issue proceeds: approx. EUR 201.8
million; Net issue proceeds: approx. EUR 190.3 million; Stock
exchanges: Frankfurt Stock Exchange (prime standard) and Berlin Stock
Exchange; ISIN DE000GSW1111 WKN GSW111; Syndicate banks: BofA Merrill
Lynch, Berenberg Bank and Deutsche Bank (Joint Global Coordinators
and Joint Bookrunners) and Kempen & Co. and UniCredit Bank AG (Joint
Lead Managers); Lock-up: 6 months for Company with respect to new
capital measures, 3 months for members of the Company's Board of
Management and Supervisory Board member Dr Jochen Scharpe, subject to
certain exceptions.

About GSW GSW Immobilien AG is a leading privately-owned residential
real estate company operating in Berlin, with a portfolio of
approximately 53,000 apartments. In addition, a subsidiary of GSW
manages approximately 17,500 residential units for third parties.
GSW's strategy focuses on the long-term rental management of
residential property via a systematic approach, which aims to
increase customer satisfaction and operational efficiency. GSW
employed approximately 581 employees on average in 2011. As of
December 31, 2011, the Company's property portfolio was valued at
approximately EUR 2.9 billion.

Disclaimer: This press release does not contain or constitute an
offer of, or the solicitation of an offer to buy or subscribe for,
securities to any person in Australia, Canada, Japan, or the United
States of America or in any jurisdiction to whom or in which such
offer or solicitation is unlawful. The securities referred to herein
may not be offered or sold in the United States of America absent
registration under the U.S. Securities Act of 1933, as amended (the
"Securities Act") except pursuant to an exemption from, or in a
transaction not subject to, the registration requirements of the
Securities Act. Subject to certain exceptions, the securities
referred to herein may not be offered or sold in Australia, Canada or
Japan or to, or for the account or benefit of, any national, resident
or citizen of Australia, Canada or Japan. The offer and sale of the
securities referred to herein has not been and will not be registered
under the Securities Act or under the applicable securities laws of
Australia, Canada or Japan. There will be no public offer of the
securities in the United States of America.

This press release is only for informational purposes and is not a
prospectus. Investors should not purchase or subscribe for any shares
referred to in this announcement except on the basis of information
in the prospectus prepared by the Company, approved by the German
Financial Supervisory Authority (BaFin) and published in connection
with the offering of such shares. Copies of the prospectus are
available free of charge from GSW Immobilien AG, Charlottenstr. 4,
D-10969 Berlin, Germany or on GSW Immobilien AG's website
(www.gsw.de).

Further inquiry note:
Sebastian Jacob
Tel.: +49 30 25 34- 18 82
E-Mail: sebastian.jacob@gsw.de

end of announcement euro adhoc
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company: GSW Immobilien AG
Charlottenstr. 4
D-10969 Berlin
phone: +49 30 68 99 99 0
FAX: +49 30 68 99 99 999
mail: kundenservice@gsw.de
WWW: http://www.gsw.de
sector: Real Estate
ISIN: DE000GSW1111
indexes: MDAX
stockmarkets: regulated dealing: Berlin, regulated dealing/prime standard:
Frankfurt
language: English