PRESS RELEASE : publity AG brings 'digital twin' of the PREOS share onto the Blockchain

 
 DGAP-News: publity AG / Key word(s): Cryptocurrency / Blockchain/Real Estate 
publity AG brings 'digital twin' of the PREOS share onto the Blockchain 
 
2020-11-24 / 11:59 
The issuer is solely responsible for the content of this announcement. 
 
*Press Release* 
 
*publity AG brings "digital twin" of the PREOS share onto the Blockchain* 
 
*- First tokenisation of shares of a listed company worldwide* 
 
*- Public offer based on securities prospectus as of 24 November 2020* 
 
*- Subscription starting from one token possible - signal effect for 
financial centre Germany* 
 
*- Thomas Olek, CEO, of publity AG: "A milestone in the international real 
estate industry. We make real estate digital and investable for everyone, no 
matter the location or infrastructure".* 
 
Frankfurt/Main (24.11.2020) - The real estate investor PREOS Global Office 
Real Estate & Technology AG (PREOS) is the world's first listed company 
whose shares are digitally securitised by a Blockchain-based "digital twin" 
(token). The tokens will be issued by the PREOS parent company publity AG by 
way of a public offering in Germany and Austria on the basis of a securities 
prospectus approved by the German Federal Financial Supervisory Authority 
(BaFin) on 23 November 2020. They will also be issued by way of an 
international private placement. The offer includes 50 million PREOS tokens. 
This is the world's largest tokenisation project in the real estate 
industry. In a first step, publity AG has already tokenised PREOS shares 
with a market value of around EUR 230 million, which corresponds to a token 
number of 25 million. The medium to long-term goal is a total token volume 
of EUR 1 billion. 
 
Investors will be able to invest in the PREOS Token as of 24 November 2020, 
irrespective of their location and entirely digitally. The initial issue 
price per PREOS token is EUR 9.25 (XETRA closing price of the PREOS share on 
23 November 2020). The PREOS token is based on the Ethereum Blockchain and 
guarantees essential shareholder rights. Each PREOS token corresponds to one 
PREOS share. The token holder has a digitally deposited non-cash asset on 
the Blockchain and can exchange his token for a conventional PREOS share at 
any time. The tokenised shares, which provide the same dividend and voting 
rights at the Shareholders' Meeting of PREOS as all other PREOS shares, are 
held in custody by a collateral trustee. 
 
The PREOS token can be subscribed online at www.preos-token.de [1]. The 
securities prospectus applicable to the public offering was published on 24 
November 2020 on publity AG's website (www.publity.de) in the "Investor 
Relations" section. In this context, the information listed below under 
"Disclaimer" must be observed. 
 
*Olek: "We are opening a new chapter on the capital market."* 
 
The PREOS shares required for the transaction originate from the stake of 
the Frankfurt-based publity AG, which currently holds around 86 percent of 
the PREOS shares. From an economic point of view, the sale of the tokens 
backed by PREOS shares is thus similar to a public re-placement of PREOS 
shares by publity AG. Thomas Olek, founder, CEO and majority shareholder of 
publity AG: "We are opening a new chapter with this tokenisation on the 
capital market and in the real estate sector alike. The real estate industry 
and the financial markets must and will become even more digital - PREOS and 
publity are pioneers in this respect and are taking investors on this 
exciting journey. We thus make real estate digitally and globally 
investable. We are targeting a volume of EUR 1 billion for the PREOS token 
in the medium to long term". 
 
By issuing the PREOS token on the Ethereum Blockchain, publity AG intends to 
emphasise its technological pioneering role and broaden the PREOS 
shareholder base by addressing new investor groups, says Nils von 
Schoenaich-Carolath, Director Treasury & Digital Assets of publity AG and 
project manager for the PREOS token. "With the issuance of a digital twin of 
the PREOS share, we have in several aspects broken new ground. Not only are 
we the first company to issue a digital twin of a listed share by way of a 
public offering. The offer is also based on an innovative trustee system, 
granting extensive rights to the token holders. We believe that the PREOS 
token will be an important step in the further expansion of the Blockchain 
technology in the capital market context". 
 
*Comprehensive money laundering concept presented* 
 
The money laundering concept developed in collaboration with the Frankfurt 
securities trading bank Bankhaus Scheich and submitted to the BaFin in 
conjunction with the creation of the PREOS token platform sets new 
standards. This concept ensures that the token can only be traded by 
investors who have gone through a comprehensive identification process 
carried out by Bankhaus Scheich. With the tokenised trustee structure new 
legal territory on the product side was entered. Concurrently, the structure 
had to be coordinated with several regulatory partners in parallel in order 
to implement the PREOS platform. The project was legally accompanied by the 
cooperation of Raschke von Knobelsdorff Heiser (RKH) and Schnittker Möllmann 
Partners (SMP). The technical service provider is micobo, which designed the 
PREOS platform for the PREOS tokens. 
 
*About PREOS Global Office Real Estate & Technology AG* 
 
PREOS is an active real estate investor focused on office properties. The 
focus of acquisitions is on Core - Plus office properties and properties 
with development potential in Frankfurt and in the future other European 
financial centres. Value creation is generated by targeted asset management 
measures. The corporate strategy is to significantly expand the real estate 
portfolio through acquisitions in the coming years and to extend the average 
holding periods of properties. Based on its decision to focus exclusively on 
the acquisition of high-priced premium properties in top locations in German 
and European cities, PREOS transferred 89.9% of the share capital to GORE 
German Office Real Estate AG (GORE) in the summer of this year in its 
formerly wholly owned subsidiary PREOS Immobilien GmbH. The latter focuses 
on the acquisition of low- to medium-priced office properties. Since then, 
PREOS has held a stake of around 59.9% of GORE's share capital. The balance 
sheet effects of the transaction on the IFRS consolidated figures are 
presented in the securities prospectus for the public offering as part of 
the pro forma financial information, whereby only the fair value of GORE's 
assets as at the last balance sheet date of 30 June 2020 has been included. 
Future planned earnings figures have not been taken into account. For 
reasons of precaution, this valuation approach could also be retained for 
the preparation of the HGB annual financial statements of PREOS as of 31 
December 2020, as a result of which the valuation of the 59.9% stake in GORE 
would be significantly lower than the EUR 179.8 million previously expected 
by PREOS. The PREOS share (ISIN DE000A2LQ850) is listed in the m:access 
over-the-counter segment of the Munich Stock Exchange (PAG.MU) and on Xetra 
(PAG.DE). The company headquarters of PREOS is recently located in Leipzig, 
as of January 2021 it will be in Frankfurt. 
 
*About publity AG* 
 
publity AG ("publity") is an asset manager and investor specialised in 
office real estate in Germany. The company covers the core of the value 
chain from the acquisition to the development and the sale of real estate. 
With over 1,100 transactions in the past seven years, publity is one of the 
most active players in the real estate market. Currently, the company 
manages a portfolio with a value of over five billion euros. publity is 
characterized by a sustainable network in the real estate industry and in 
the Work-Out departments of financial institutions. In recent years, publity 
has digitalised the German office real estate market, with the result that 
its subsidiary PREOS possesses all the information on 9,500 relevant 
properties in the most important locations at all times. Thus the company 
achieves advantages both in the letting of the areas and in the search for 
buyers and salesmen of real estates. 
 
With very good access to investment funds, publity handles transactions 
rapidly with a highly efficient process and proven partners. On a 
case-by-case basis, publity participates as co-investor in joint venture 
transactions to a limited extent. The shares of publity AG (ISIN 
DE0006972508) are traded on the Scale segment of Deutsche Börse. 
 
Press Contacts: 
publity AG 
Elena Löw 
Phone: [phone] - 566 
Mail: [e-mail] 
 
edicto GmbH 
Axel Mühlhaus 
Phone: [phone] - 52 
Mail: [e-mail] [2] 
 
*Disclaimer* 
 
This publication does not constitute an offer. In particular, it does not 
constitute a public offer to sell or an offer or a solicitation of an offer 
to purchase, purchase or subscribe for any tokens, shares or other 
securities. The offer is based exclusively on the securities prospectus 
approved by the German Federal Financial Supervisory Authority (BaFin) on 23 
November 2020 and published on the website of publity AG (www.publity.de) in 
the "Investor Relations" section. Only the securities prospectus contains 
the information for investors required by law. 
 
Investors are advised to read the securities prospectus, which has been 
audited by the German Federal Financial Supervisory Authority (BaFin) for 
completeness, coherence and comprehensibility, as published on the website 
of publity AG (www.publity. de) in the " Investor Relations" section before 
deciding to buy or sell PREOS tokens or shares of PREOS Global Office Real 
Estate & Technology AG in order to fully understand the potential risks and 
opportunities of the investment decision, and to make an investment decision 
only using all available information about the Company after consulting with 
own lawyers, tax and/or financial advisers. It should be noted that approval 

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November 24, 2020 05:59 ET (10:59 GMT)