20 January 2015 – El País
The company failed to reach an agreement with its creditors.
The real estate company Edival, which became one of the leading companies in the sector in Valencia, has filed for bankruptcy. Mercantile Court No. 2 in Valencia passed the bankruptcy order, which had been requested by the company after it failed to reach an agreement with its creditors.
Edival, led by Manual Puchades until his death, when he was succeeded by his sister, Teresa, had managed to weather seven very difficult years for the real estate market without resorting to bankruptcy, but that has now become inevitable.
Going forward, the company will be managed by an insolvency administrator, and creditors have one month to submit their claims for inclusion on the list under bankruptcy law.
The company, which had an important presence in other regions besides Valencia, including Murcia and Madrid, promoted numerous social housing developments and recorded huge results in the years of the construction boom.
In 2006, for example, it recorded a turnover of €144 million and profits of €22.6 million, an increase of 39% on the previous year. When the crisis hit, however, Edival had bank debt amounting to almost €500 million, which it has failed to assimilate on its own.
Original story: El Páis (by Ignacio Zafra)
Translation: Carmel Drake