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Catalan Socimi Quonia Increases its Capital by €26.5M

8 January 2018 – Eje Prime

Quonia is starting 2018 with the financial ammo it needs to continue growing. The Catalan Socimi has just closed a capital increase amounting to €26.5 million, which it intends to use to carry out new purchases and fatten up its asset portfolio, according to explanations provided by the group to Eje Prime.

“Last week, Quonia’s Board of Directors agreed to increase its share capital by a maximum of €12,629,797, through the issue and launch into circulation of a maximum of 12,629,797 ordinary shares with a nominal value of €1 each, of the same class and series as the shares currently in circulation and represented through book entries”. The capital increase will be disbursed through monetary contributions.

Likewise, the Socimi has agreed to issue shares at an issue rate of €2.10 per share, €1 of which corresponds to the nominal value of the shares and €1.10 to the issue premium. The total cash amount of the issue will, therefore, amount to €26,522,573.70, of which €12,629,797 will correspond to the share capital (nominal) and €13,892,776.70 to the issue premium, according to sources at the group.

Quonia will spend all of the funds obtained through this capital increase on equipping the Socimi with the “capital resources necessary to develop its activity, as well as on facilitating access to external financing sources to reach a maximum leverage level of 50%”.

“The objective of the increase is to obtain resources to continue growing and to take advantage of the real estate opportunities that will continue to arise on the Iberian Peninsula over the coming months”, say sources at the company. “Currently, the company is in the process of analysing and evaluating different assets for sale to use them for leasing”.

As Eje Prime revealed, Quonia has decided to expand its spectrum of acquisitions to include Madrid and Sevilla, whereas until now, it has focused almost entirely on Barcelona. Quonia, a vehicle managed externally by Rusiton XXI, a manager specialising in real estate investment and with solid financial experience, acquired a property at number 60 Passeig Joan de Borbó, in Barcelona, one of the most touristy areas of the Catalan capital, in March for €7 million.

Following that acquisition, Quonia’s portfolio comprised six assets, located in Barcelona, Asturias and Sevilla. The Socimi, which made its debut on the Alternative Investment Market (MAB) in July 2016, acquired Hotel Internacional, located at number 78 La Rambla de Barcelona, for €11.25 million, soon after it started operating in the sector (…).

Original story: Eje Prime (by C. Pareja)

Translation: Carmel Drake