Germany’s Aareal to reap $2.1 bln gain in sale of Aareon to TPG consortium

FRANKFURT, June 24 (Reuters) – German property lender Aareal Bank will book a gain of around 2 billion euros ($2.14 billion) after it sells its tech unit Aareon to private equity firm TPG and investor CDPQ, it said in announcing the deal on Monday.

Aareal, based in Germany but operating globally, said it would only realize the gain later this year when the deal closes.

In the meantime, it will incur transaction costs of 150 million euros in the second quarter. In the first quarter, the bank generated a net profit of 73 million euros.