The participation rights issued can be specified as follows:
As at 1 January
Issued in the year
Redeemed in the year
As at 31 December
The participation rights carry a nominal value of €1, all participation rights are fully paid. There are no restrictions relating to dividend and capital distribution. For further information on movements reference is made to the consolidated statement of changes in equity.
During the 2016 annual meeting of participants, it was decided that Vesteda will pay a quarterly interim distribution as of 2017. The aforementioned interim distribution amounts to 60% of the budgeted distribution for 2017, and was paid out in three installments (€26 million) during the financial year, each within two weeks after quarter end. The distribution paid in April 2017 also included the €128 million distribution (€4.96 per participation right) regarding the financial results of 2016. The remaining 40% will be paid out in two installments after closing of the financial year 2017. One in January, shortly after the fourth quarter and one after the adoption of the distribution proposal in April 2018. The total distribution for financial year 2017 proposed will be €138 million.
Vesteda Residential Fund FGR is a mutual fund, which is not classified as a legal entity under Dutch law. Vesteda Residential Fund FGR does therefore not have legal requirements relating to reserves. However, the Fund has decided to present its statement of changes in equity as if the Fund was subject to the rules for the determination of revaluation reserves.
Property reserve is the difference between the market value and historical book value. Revaluation of property is accounted for in case of positive revaluations. Negative revaluation is deducted from this reserve as long as the reserve is positive on an individual basis.
Vesteda participants invested in 2017 a total of €280 million in the growth of Vesteda's rental portfolio. Vesteda will use the investment to finance the continued growth of the rental portfolio, both for the financing of the Vesteda's existing committed pipeline and for future acquisitions.
In each financial year participants may request that their participation rights be redeemed in accordance with the Terms and Conditions and the fund manager will seek to satisfy these redemption requests for which an amount of at least €50 million will be made available in each financial year. If no redemption requests are made by the participants during the year, the amount available for redemption requests of €50 million in that particular year will be rolled over to the next year, unless the participants by participants’ ordinary consent determine otherwise.
In 2017, no redemption requests were issued by the participants. It will be proposed to the Annual Meeting of Participants to be held on 4 April 2018 that the amount of €50 million made available for redemption requests in 2017 will not be rolled over to the financial year 2018.
Earnings per participation right
Basic earnings per participation right are calculated by dividing result after tax for the year attributable to equity holders of the parent/participants by the weighted average number of participation rights outstanding during the year. The table below reflects the income and number of participation rights used in the basic earnings per participation right computations:
Result after tax attributable to equity holders
Weighted average number of participation rights
Earnings per participation right in €
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Basic and diluted earnings, on result after tax
There have been no other transactions involving participation rights or potential participation rights between the reporting date and the date of completion of these financial statements.
Net asset value (NAV) per participation right
Basic IFRS NAV per participation right is calculated by dividing net assets in the balance sheet attributable to ordinary equity holders of the parent/participants by the number of participation rights at year-end. The following reflects the net asset and number of participation rights used in the basic NAV per participation right computations:
NAV attributable to equity holders of the parent
Participations at year-end
Net Asset Value (NAV) per participation right in €
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Basic and diluted IFRS NAV
There is no difference between basic and diluted IFRS NAV.