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Realia Commits To Returning To The Residential Segment

29 June 2017 – Eje Prime

The real estate company in which the Mexican magnate, Carlos Slim (pictured above) holds a stake, is shaping Realia once again. The company has set itself the objective of gradually returning to the residential business, with around twenty developments. Realia is currently marketing 185 homes in three developments in Madrid, Palma de Mallorca and Barcelona.

At a meeting of its shareholders, Gerardo Kuri, CEO of Realia, said that the company’s priority over the last few months has been to clean-up and restructure its debt, according to Cinco Días. In fact, in one year, its liabilities have decreased from €1,145 million to €731 million, based on data as at May 2017.

“The most important event of last year was the financial restructuring that took place” – said Kuri – “the company had a major debt problem”. Slim has strengthened Realia’s financial lungs, with capital increases and a discount on the exchange of a loan for shares.

Moreover, last April, the company refinanced a loan amounting to €678 million.

“This year, there has been a major boost in the property developer business, with milestones, such as the debut on the stock exchange of Neinor” – explained the Director. “We are evaluating new projects and starting to construct homes because we want to have a significant real estate business”. Realia, which has traded on the stock market since 2007, is controlled by Slim through Inversora Carso (33.8% of the share capital) and FCC (36.9%).

Original story: Eje Prime

Translation: Carmel Drake