Realia Launches €147M Capital Increase

7 December 2016 – Expansión

Yesterday, Realia, the real estate company controlled by Carlos Slim, launched a preferential subscription period for its €147 million capital increase, through which the real estate group is seeking to strengthen its financial position and develop new projects.

Specifically, the company, in which Slim owns a 30.3% stake through his company Inversora Carso, and in which the construction company, FCC, which is also controlled by the Mexican businessman, holds a 37% stake, will put 184 million new shares into circulation, at a subscription price of €0.80 each. Both Carlos Slim and FCC are expected to participate in the capital increase.

In the prospectus, the company explains that the funds will be used to repay (early and in full) a loan granted by Inversora Carso, amounting to €20.4 million; and to make an early repayment of part of its loan with La Caixa, amounting to €92 million.

Moreover, the real estate group is seeking funds, which it will use to finance the construction of future residential developments.

Original story: Expansión (by R.A.)

Translation: Carmel Drake