The total value of the Etalon Group’s assets has reached RUB 270 billion, according to he results of its asset valuation as of 31 December 2021, conducted by Colliers International.
Etalon Group’s project portfolio, with unsold NSA of 6 mn sqm at 27 projects under development and at completed residential and commercial properties, was valued by Colliers International at RUB 256 bn. The asset valuation also includes Etalon Group’s construction and maintenance division, which was assessed at RUB 14 bn.
Etalon Group CEO Gennadiy Shcherbina said:
“Since the beginning of last year, our project portfolio has more than doubled, and its market value has increased by 34% to RUB 256 bn. This rapid growth in the value of our land bank is driven by our acquisitions programmes, including expansion into new regions. Notably, of the 3.7 mn sqm Etalon Group has acquired since the beginning of 2021, nearly 3.3 mn sqm is in regional markets: Omsk, Novosibirsk, Tyumen and Ekaterinburg. Despite the challenges facing the market, Etalon Group has been successfully standardising its product through the use of advanced digital technologies and state-of-the-art industrial housing construction technologies, while also paying close attention to cost controls. These initiatives enable the company to ensure that housing remains affordable for consumers through existing state support programmes while getting the most value from its land bank at the same time. Another important advantage in Etalon Group’s favour in the context of accelerating market consolidation is its strong financial position with a net corporate debt to EBITDA ratio of 0.1x. This puts the company in a position to further increase business volumes through the acquisition of new sites on favourable terms, while smaller players in the current situation are unable to take advantage of economies of scale in order to reduce costs and are thus forced to exit the market.”