Deutsche Konsum REIT-AG plans the issuance of mandatory convertible bonds excluding the subscription right of shareholders.

Deutsche Konsum REIT-AG  / Key word(s): Corporate Action21.09.2016 08:13Disclosure of an inside information according to Article 17 MAR,transmitted by DGAP - a service of EQS Group AG.The issuer is solely responsible for the content of this announcement.---------------------------------------------------------------------------Notification of Insider Information according to art. 17 MARDeutsche Konsum REIT-AG plans the issuance of mandatory convertible bondsexcluding the subscription right of shareholders.Broderstorf, 21 September 2016 - The executive board of Deutsche KonsumREIT-AG (the "Company"), with the approval of the supervisory board, haspassed a resolution in principle today to issue bonds with both aconversion option and a conversion obligation in the total amount of aboutEUR 14 million.The convertible bonds will have a denomination of EUR 1,000 per partialbond, a term of 2 years and a coupon of 0.25% p.a. They can be convertedfrom the third month after issuance on, i.e. presumably from 27 December2016 on, at an initial conversion price of EUR 8.50 per share. As a result,they are, subject to an adjustment of the conversion price, convertibleinto 1,660,000 shares of the Company. The convertible bond comes with aconversion obligation for the bondholders at maturity.The Company plans to use the proceeds from the issuance of the convertiblebonds for further real estate purchases. The company is currently assessingthe benefits of such prospective purchases.The main shareholder of the Company, Obotritia Capital KGaA, has committedto subscribe for and purchase the convertible bonds in their entirety. Ithas notified the Company that, simultaneously with the acquisition of themandatory convertible bonds, it intends to sell up to 1.38 million sharesof Deutsche Konsum REIT-AG which are currently in its own stock, at a priceequal to the initial conversion price of EUR 8.50.The transaction will be accompanied by ODDO SEYDLER BANK AG.Deutsche Konsum is a REIT, that is specialized in retail properties ofevery day demand, and which has been listed on the Berlin Stock Exchangesince December 2015. Since its listing, the Company has notarized furtherreal estate purchase contracts and currently holds lettable surfaces of188,000 square meters with an annualised yearly rent of EUR 13.8 million,spread over 34 properties.Issuer:Deutsche Konsum REIT-AGSeat of business:Försterweg 214482 PotsdamISIN: DE000A14KRD3WKN: A14KRD3Stock Markets: Regulated Market in Berlin; Open Market in FrankfurtDisclaimer:This document and the information contained herein are for informationpurposes only and do not constitute a prospectus or an offer to sell or asolicitation of an offer to buy any securities of Deutsche Konsum REIT-AG(the 'Company') in the United States or in any other jurisdiction. Thisannouncement may not be published, distributed or transmitted, directly orindirectly, in or into the United States, Canada, Australia, Japan or SouthAfrica. The securities of the Company may not be offered or sold in theUnited States absent registration or an exemption from registration underthe U.S. Securities Act of 1933, as amended (the 'Securities Act'). Thesecurities of the Company have not been, and will not be, registered underthe Securities Act or under the applicable securities laws of Australia,Canada, Japan or South Africa. The distribution of this announcement may berestricted by law in certain jurisdictions and persons into whosepossession any document or other information referred to herein comesshould inform themselves about and observe any such restrictions. Anyfailure to comply with these restrictions may constitute a violation of thesecurities laws of any such jurisdiction.Contact:Deutsche Konsum REIT-AGFrau Wencke RöckendorfFörsterweg 214482 Potsdam Tel. +49 (0)331 / 74 00 76 - 51021.09.2016 The DGAP Distribution Services include Regulatory Announcements,Financial/Corporate News and Press Releases.Archive at Language:     EnglishCompany:      Deutsche Konsum REIT-AG              Försterweg 2              14482 Potsdam              GermanyPhone:        +49 (0)331 740076510Fax:          E-mail:       wr@obocap.comInternet:     www.deutsche-konsum.deISIN:         DE000A14KRD3WKN:          A14KRD Listed:       Regulated Market in Berlin; Regulated Unofficial Market in              Tradegate Exchange; Open Market in Frankfurt End of Announcement                             DGAP News-Service ---------------------------------------------------------------------------