With a market value of nearly PLN 830 million, the now-completed transaction has significantly strengthened Archicom's position, providing it with greater potential for growth, synergies and wider recognition. The combined resources will make it easier, among other things, to improve competencies, share experience and expand geographically. The nationwide scale of operations will give Archicom's business a new dynamic, and with its new team, it will reach the sales potential of 4,000 apartments per year. The company's offer will now be available in the five largest Polish cities: Warsaw, Kraków, Wrocław, Łódź and Poznań, with more markets planned.

"The acquisition of the residential part of Echo Investment's business is a milestone in Archicom's track record and a chance to boost our growth on an unprecedented scale. We have thus become one of the largest residential developers in the country, and with our debut in 4 new cities outside Wrocław, we have become a nationwide brand. Our ambition is to expand further. The combination of experience in creating urban spaces and multi-faceted know-how, which both organizations have gathered over more than 30 years of their presence in the Polish market, is a unique and invaluable asset. The strengthening of Archicom's position also means greater financial security, greater stability and greater attractiveness from the viewpoint of all stakeholder groups. The expertise gained from Echo, primarily in the area of mixed-use developments, will allow us to shape a healthy urban fabric even more effectively. As we take our business to the next level, we do not forget what has always guided our strategy, i.e. orienting ourselves to the needs of our clients and working in the vein of sustainable development. Since the beginning of our operations, we have been building our business on solid ESG foundations, which we treat not only as our duty but as an opportunity for change for the entire industry", says Waldemar Olbryk, CEO of Archicom.

In return for the contribution in kind, Echo Investment acquired 22,825,700 new Archicom shares at the issue price of PLN 36.34, achieving a share in the capital of 89.30%. Echo Investment will further strengthen its position in the commercial real estate sector, where its end clients are mainly institutions: investment funds, international investors, tenants, etc. The company will focus on the office, retail, PRS (Resi4Rent) and serviced office (CitySpace) segments, as well as mixed-use 'destinations' projects such as Warsaw Breweries, Fuzja in Łódź and Towarowa 22 in Warsaw.

"The practically doubled year-on-year growth in demand for apartments and the long-term development prospects of the residential market in Poland make us optimistic about the future of this segment. That is why we have decided to clearly divide our business into commercial and residential parts, which opens up attractive opportunities resulting from the synergies of the Echo-Archicom Group. The strengthened potential of the consolidated residential business will make it easier for us to carry out ambitious projects that we are planning, among others, in the Warsaw Służewiec Przemysłowy district or at 22 Towarowa Street. At the same time, Echo Investment will continue to develop in the office or service segments and will increase its involvement in projects in the promising market of apartments for rent," says Maciej Drozd, CFO of Echo Investment.

At the end of 2022, the value of Echo Investment-Archicom Group's assets amounted to PLN 6.1 billion, of which the commercial segment was worth PLN 3.8 billion and the residential segment amounted to PLN 2.3 billion.