In recent years, Swiss insurance companies have invested heavily in the domestic real estate market. A portion of these portfolios is sold to private and institutional investors through the asset management divisions’ funds.

Baloise Asset Management is planning a capital increase of up to CHF 153,7 million for its Swiss Property Fund, according to a statement released on Thursday. The issuance of new shares is scheduled to take place between August 13 and August 26, 2025.

The proceeds will be used to purchase a portfolio of up to eleven properties from Baloise Life for a maximum price of CHF 209,6 million. The properties are said to be located in above-average locations within economically attractive regions of Switzerland.

Leverage Ratio to Increase

Due to the difference between the purchase price and the targeted proceeds from the capital increase, the fund’s debt ratio is expected to rise to approximately 19 percent, the statement continues.

Existing investors in the fund will receive one subscription right per share. Six subscription rights will entitle holders to subscribe to one new share. A maximum of just over 1,4 million shares are to be issued at a price of CHF 109,64 per share. Subscription rights will be traded on the SIX Swiss Exchange from August 13 to August 22, 2025.

The transaction has already been approved by Finma, the Swiss Financial Market Supervisory Authority.

According to its own statements, the Baloise Swiss Property Fund (BSPF) holds a broadly diversified real estate portfolio across Switzerland, with a strong focus on residential properties.