Amancio Ortega’s interest in Realia increases the company’s stocks to a 20%

23/01/14 – Expansión.

Pontegadea , Amancio Ortega´s real estate, has shown  interest in Realia, a real estate that is searching for new investors that will replace Bankia and FCC, its current leading partners, and is also trying to obtain funds so that the debts can be paid, as sources of the sector  communicated to Europa Press. Today Realia’s share prices increased a 20%.

A group of investment funds has also shown interest in the real estate, owner of one of the Torres Kio of Madrid and of a French patrimonialist company, according to ‘Vozpopuli’.

If Amancio Ortega bought Realia that would reinforce Pontegadea’s portfolio and its presence in France, considering that he recently acquired important properties in: Madrid, Barcelona, Valencia, New York and London.

He would also acquire one of the Torres Kio, located in Plaza de Castilla in Madrid, which would be added to another emblematic building of the city acquired at the end of 2011, the Torre Picasso, along with the Torre Realia BCN in Barcelona and various malls.

In particular, Realia is now managing a patrimonial portfolio of 600.000 square meters, the 95% in operation. The company is composed of office buildings in Spain and in France (from the subsidiary SICC in Paris) and Spanish malls such as ”El Jardín de los Serrano” in Madrid and “As Cancelas” in Santiago de Compostela.

This portfolio was valued at 2.875 million Euros, according to independent valuations realized by the company at the end of 2012.

A three-way process

Last month Realia, along with its two current majority shareholders, started a process of searching for new investors, a process entrusted to Goldman Sachs.

Through this process, the real estate company would aim at a double goal. On the one hand, the company would make easier the exit of its two powerful partners, Bankia and FCC, from the capital. The nationalized entity has to get rid of the industrial investments, while the construction group develops a plan of selling assets in order to reduce the debt.

On the other hand, the real estate itself needs to acquire funds in order to pay the debts to those that owes, as promised in the agreement of refinancing recently signed.

According to what these sources of the sector pointed out to Europa Press, the possible entry and exit of partners in Realia’s shares is still at an embryonic stage. The company has just started the process of “data room” and for that reason provides its data to investors that show interest.

The interest of Ortega and of other investors in Realia has increased the real estate’s share prices. After the closure of the market, the stocks of the company have been revalued at a 20,67% and have closed at 1,080 Euros.

Source: Expansión

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