we receive e we publish the following Press release.
Planet Smart City has completed the €15 million capital increase, approved by its Board of Directors last January, and is ready to relaunch its operations. In the management and development report presented at the shareholders' meeting of Planet Holding UK, the parent company, held on Friday the 28th, Stefano Reganzani, Chief Executive Officer (CEO), announced that the final tranche of the increase (€5,5 million) has been fully subscribed. Meanwhile, the €10 million bond issued last June continues to be subscribed.
During the meeting, the 2024 financial and financial data were presented, along with a forecast for the current financial year. This year, thanks primarily to the delivery of homes in India, will close with net revenue of approximately $100 million, a significant increase compared to $71 million in 2024 and $28 million in 2023. Consolidated EBITDA will remain negative ($11 million), but the loss will be halved compared to 2024 and less than a third compared to 2023, thanks to a substantial reduction in operating costs. In 2024, the parent company Planet Holding UK's net equity is positive at approximately $80 million.
The shareholders' meeting also approved the relaunch plan presented by the CEO, which includes new investments in real estate development projects, particularly in India, and in the Digital and Advisory business units. Both business units are increasingly contributing to the Group's revenues, to the point that Planet is considering a spinoff to enhance their value and allow for the entry of new investors.
To balance capital investments in real estate, Planet Smart City plans to establish a new Asset Management business unit in 2026. This unit will manage new real estate development projects through dedicated funds and resources raised from third-party investors. This structure will ensure the generation of recurring revenue and cash flow and will allow for an increase in the number of development projects.
The shareholders' meeting appointed two new non-executive directors to replace two outgoing directors. Antonio Aitoro, current CEO of GenomSys, and Emerico Ripa Buschetti di Meana, a Stellantis executive and former CFO of several companies within the same group, joined the Board.
Stefano Reganzani, CEO of Planet Smart City, Planet stated: "The capital increase and the subscription of the bond are two essential steps towards a return to normal operating conditions. After a period of slowdown, Planet can return to focusing on development by leveraging the strong competitive position we have built in smart affordable housing, where our offering of integrated smart solutions and digital services makes us a unique player. Shareholders' confidence in the company's development strategy and potential is a fundamental support for achieving the objectives of the business plan."
