DGAP-News: Linus Digital Finance AG Plans To Go Public

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Linus Digital Finance AG Plans To Go Public

• Linus Digital Finance AG is preparing for a Listing on the Regulated Market of the Frankfurt Stock Exchange (General Standard)
• Prospectus submitted to BaFin for approval
• Recent capital increase to enhance free float successfully concluded

Berlin, 11 May 2021. Linus Digital Finance AG ("LINUS Digital Finance"), the first German digital real estate financing platform for exclusive real estate investments with an institutional character, strives for a listing of the company on the stock exchange. All 6,056,666 shares are to be listed on the Regulated Market of the Frankfurt Stock Exchange (General Standard) without an accompanying public offer or a private placement of shares. Today, LINUS Digital Finance submitted a corresponding prospectus to the German Federal Financial Supervisory Authority (BaFin) and expects to receive approval in the course of the day. A decision on the listing by the Frankfurt Stock Exchange is expected on or around 18 May 2021 and the first day of trading is expected to be on or around 19 May 2021. Thus, LINUS Digital Finance is the first Berlin-based fintech to take a decisive step towards timely listing on the Regulated Market.

To prepare for its listing, LINUS Digital Finance recently conducted a successful capital increase of approx. 1.9% of its share capital at the end of April 2021, and thus increased the free float. In addition to external investors, numerous employees of LINUS Digital Finance availed of the opportunity to acquire shares at what the company feels was an attractive pre-market price of €25.23 per share.

"As a fintech which finances real estate and gives co-investors the opportunity to participate in the professional investments of LINUS Digital Finance, we very much welcome the more rigorous compliance and transparency requirements associated with the public listing. These requirements enhance the process of developing trust with our co-investors. Moreover, the public listing also creates additional visibility among potential institutional investors," explains David Neuhoff, the founder and CEO of LINUS Digital Finance.

Frederic Olbert, the CFO of LINUS Digital Finance, adds: "We are convinced that going forward the capital market will allow us to finance our further growth in a more targeted and efficient way. Since our business is not too capital-intensive and we are in a strong financial position, we are not dependent on directly raising fresh capital. As a listed company, however, we will be able to cover our future capital requirements quickly and flexibly thanks to our dynamic growth."

On its scalable online platform, LINUS Digital Finance offers institutional investors as well as professional and semi-professional private investors exclusive access as co-investors to a wide range of real estate financing opportunities, which to date have only been accessible to major institutional investors. The investments on offer are reviewed by LINUS Digital Finance and initially pre-financed in full by debt funds managed by LINUS Digital Finance. Thereafter co-investors can participate, while funds of the LINUS Digital Finance group always retain an investment as an anchor investor. The digital approach allows the experienced investment team at LINUS Digital Finance to conduct data-driven selection processes for projects. The funds are managed by a subsidiary of LINUS Digital Finance, which as a financial investment management company (Kapitalverwaltungsgesellschaft - KVG) is supervised by BaFin.

The selected projects originate from all project development stages and cover a wide range of usage types. Investments are made primarily in German A and B cities, as well as in British A cities, with volumes varying between approx. €3 and €100 million and with terms ranging between approx. six and 48 months.

Joh. Berenberg, Gossler & Co. KG is acting as the Listing Agent for LINUS Digital Finance.

About LINUS Digital Finance:

Linus Digital Finance AG finances real estate projects with debt and mezzanine capital through a private debt fund it manages, enabling semi-professional, professional and institutional investors to participate in these investments via a digital platform. The term of the loans is usually between six and 48 months. A subsidiary of Linus Digital Finance AG is supervised by the German Federal Financial Supervisory Authority (BaFin) as a financial investment management company (Kapitalverwaltungsgesellschaft - KVG). Since the company was founded in 2016, the funds and investment companies managed by Linus Digital Finance AG, together with co-investors, have invested almost €600 million in real estate projects, thereof approx. €450 million from co-investors, thus financing a total project volume of over €1.5 billion. Around €35 million in interest has been distributed to Linus Digital Finance AG investors to date.

This publication constitutes neither an offer to sell nor a solicitation to buy securities. No public offer will be made in connection with the intended admission to trading of the shares of Linus Digital Finance AG. An investment decision regarding the securities of Linus Digital Finance AG should only be made on the basis of the securities prospectus. The securities prospectus will be published promptly upon approval by the German Federal Financial Supervisory Authority (BaFin) and will be available free of charge on the website of Linus Digital Finance AG (www.linus-finance.com).

These materials may not be published, distributed or transmitted in the United States, Canada, Australia or Japan. These materials do not constitute an offer of securities for sale or a solicitation of an offer to purchase securities (the "Securities") of Linus Digital Finance AG in the United States, Australia, Canada, Japan or any other jurisdiction in which such offer or solicitation is unlawful. The Securities of Linus Digital Finance AG may not be offered or sold in the United States absent registration or an exemption from registration under the U.S. Securities Act of 1933, as amended (the "Securities Act"). There will be no public offering of the Securities in the United States. The Securities of Linus Digital Finance AG have not been, and will not be, registered under the Securities Act. 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 subject to certain exceptions.

In the United Kingdom, this document is only being distributed to and is only directed at persons who (i) are investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the "Order"), or (ii) are persons falling within Article 49(2)(a) to (d) of the Order (high net worth companies, unincorporated associations, etc.) (all such persons together being referred to as "Relevant Persons"). This document is directed only at Relevant Persons and must not be acted on or relied on by persons who are not Relevant Persons. Any investment or investment activity to which this document relates is available only to Relevant Persons and will be engaged in only with Relevant Persons.