Von der Heyden Group Finance plc - Updated Financial Analysis Summary

On 30 June 2025, Von der Heyden Group Finance plc published an updated Financial Analysis Summary. The following are the main highlights of the expected financial performance and position of Timan Investments Holdings plc (the Guarantor) in 2025:

  • Revenues are anticipated to fall by 20.3% to €12.1 million (2024: €15.3 million) driven by the loss of revenues from two 3-star hotels in Germany which were removed from the Group’s portfolio in 2024 and the early lease termination of another 3-star hotel in Germany in the first quarter of 2025. The Group intends to focus on 4-star and luxury hotels.
  • Excluding fair value gains from investment properties, EBITDA is expected to result in a loss of €0.35 million compared to a loss of €1.72 million in 2024.
  • The Group is forecasting a €1.5 million fair value gain on the AND2 Project and a €0.4 million fair value gain for Villa Diodati.
  • Net finance costs are expected to rise by 24.0% to €2.3 million (2024: €1.9 million) as the Group is forecasting lower interest income than 2024, which in turn, was positively impacted by interest income realised on the disposal of the loan held by the Group in an Italian special purpose vehicle. Furthermore, borrowing costs for ongoing development projects are being capitalised.
  • Total debt is projected to increase by 19.8% (or €22.3 million) to €135 million, which includes €12.7 million in lease liabilities. The Group obtained an additional long-term financing for the development of the AND2 Tower. The Group is also expecting to issue €4.5 million in new private notes in 2025. As a result, the gearing ratio (calculated as total debt divided by total debt plus equity) is anticipated to deteriorate to 83.3% from 79.3% as at the end of 2024.
  • The debt to asset ratio is anticipated to climb to 0.78 times from 0.73 times as at the end of 2024.
  • The Group noted that the final works relating to the AND2 Tower (an office building in Poland) are anticipated to be completed by the end of 2026 as the Group, after which the project is expected to have an exit value of €140 million.
  • Villa Diodati in Italy is being restored and converted into a luxury home which the Group expects to sell within the next twelve months.
  • The 33 apartments in Portugal in which the Group has a 25% interest are expected to be completed and sold off by the end of 2025 for a total consideration of €6.6 million.