21 June 2017 – Expansión
The French real estate company Eurosic is looking to finalise the stock exchange debut of its company in Spain. The firm, which trades in France under the Siic framework (similar to the Spanish Socimi system) has been investing in Spain for a year and a half now, during which time it has accumulated 11 assets, whose combined acquisition price amounts to €137 million.
Specifically, Eurosic undertook its first operations outside of France in 2015, with the purchase of a property in Germany and another three in Spain. In December 2015, the French group acquired a hotel in Fuengirola (Málaga), an estate spanning more than 12,600 m2 in l’Estartit (Gerona) and another building, requiring renovation, on Calle Bailén in Madrid. According to the most recent accounts filed for Eurosic Investment Spain Socimi, the French group spent €35 million on those three properties.
Months later, the vehicle acquired two hotels in Sóller (Mallorca) and another building on Calle Atocha in Madrid.
After closing these operations, the Socimi now has a portfolio specialising in tourist assets (hotels and apartments), worth €137 million. Its objective is to increase its investment to €280 million by the end of 2017 when Eurosic plans to debut its investment vehicle on the MAB.
The Socimi currently has share capital amounting to €96 million, of which Eurosic has contributed €70 million; the firms Euler Hermes and Allianz Invest Pierre (managed by Immovalor Gestión) have invested €25 million of their own funds; and the management team has contributed €1 million.
According to the accounts for the most recent fiscal year, closed March 2016, Eurosic Spain recorded rental income of €452,616. In January, the Socimi undertook a capital increase amounting to €1.57 million, to make way for the entry into the share capital of a fund in which Allianz holds a stake, according to market sources.
In 2014, the French group purchased Colonial and Realia’s stakes in the French real estate company Siic de Paris for €850 million. In February, it invested €116 million in Spain, acquiring 16 nursing homes, as reported by Expansión.
Original story: Expansión (by Rocío Ruiz)
Translation: Carmel Drake