The unprecedented crisis we are currently experiencing is significantly shaking up our daily lives, lifestyles and priorities. It is of major proportions, its spread is putting the markets to the test, its character is unique, and its consequences are particularly evolving.
In these difficult times for everyone, MIMCO Capital wishes to assure you that it is fully engaged in order to serve you as well as possible. It is also our responsibility to provide you with reassuring information on the management of our group, which has always been based on a principle of prudence: our structure and cash flow enable us to cope with this otherwise delicate context.
Our presence in Germany and Luxembourg, two countries cited as examples for their management of the crisis from both a health and economic point of view, is an additional guarantee of security. Faced with this unprecedented situation, the German and Luxembourg governments have taken very rapid support measures for companies, whether it be a reduction and deferral of their taxes and duties, cash advances, a financing guarantee or short-time working to support the payment of salaries and the security of employees. These are all measures that further strengthen our solid foundations.
Concerning our current worksites, the Grand Duchy has asked to stop construction for two months. This delay can be very largely absorbed and will not cause a delay in the maturity of our BUILDIM 19 fund.
With regard to our assets in Germany, our highly diversified portfolio with tenants from all sectors of activity is also an important shield. Tenants such as REWE (food large retailer), international companies present in the office park, the German administration or the pharmaceutical industry are nevertheless continuing their activities. Of course, for other tenants more directly affected by the health crisis, we have suspended rents and taken appropriate measures. We are in discussion with tenants to organize rent adjustments at the end of this period.
Thanks to our "Germanic" management, we are well equipped to deal with this situation and support our tenants. The dividends of the Everest One fund for the first quarter of 2020 have been maintained and to do so, we have decided to reduce management fees for the first quarter of 2020.
The foundations of our group are thus based not only on our business model, our prudential management and our know-how, but also on the geographical and sector diversification of our funds and our adaptation to new behaviors to meet the needs of our market.
We are also continuing to work on new acquisitions in Germany and Luxembourg, which should be completed in the coming weeks.
Let's not forget that after the storm, the good weather always comes and to prepare for the end of this period, there are some very nice new challenges and opportunities to concentrate on. Let's take advantage of this moment to reinvent and refocus our strengths.
In these difficult times, we thank the care staff for their commitment to this inspiring struggle for life and extend our deep support to all those affected by this virus, from near and far.
We will continue to keep you informed and our team remains fully mobilized and at your disposal by phone or e-mail for any questions you may have.
Take care of yourself and your loved ones!
MIMCO Capital
The Management
