Nov. 8 (Bloomberg) -- NSI NV dropped the most since at least 1998 in Amsterdam trading after the Dutch real estate investor announced a stock sale that will more than double the number of shares.
The price fell as much as 24 percent to 4.24 euros. NSI plans to raise 300 million euros ($403 million) by selling 75 million new shares for 4 euros each, the company said in a statement today. NSI currently has 68.2 million shares, according to data compiled by Bloomberg.
The Netherlands is in its third recession since the global financial crisis started in 2008. Dutch commercial-property prices have fallen by an average of 15 percent from the market’s peak before the crisis, the country’s central bank said last month.
“We have been hit hard by the developments in the real estate sector,” NSI Chief Executive Officer Johan Buijs said in the statement. “Since the start of the crisis in 2008, revaluations almost halved the value of our Dutch office portfolio.” The company has about 2 billion euros of assets under management.
Investors including CBRE Clarion Securities LLC and Cohen & Steers U.K. Ltd. have agreed to buy shares for about 220 million euros, NSI said. The rest of the offering is underwritten by ABN AMRO Bank NV, ING Groep NV and Rabobank International.
NSI was down 12 percent at 4.89 euros at 11:15 a.m. in Amsterdam, giving the company a market value of 334 million euros.
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