Realia Refinances €802.75M Debt Balance

14 December 2015 – Cinco Días

Realia, the real estate company controlled by Carlos Slim, has signed an agreement to refinance its debt, which currently amounts to €802.75 million, according to a statement made by the company on Friday to Spain’s National Securities Market Commission (CNMV).

The company has signed the agreement with the entities Puffin Real Estate, CF Aneto and Goldman Sachs International with the aim of enabling it to comply with its short and medium-term financial feasibility plan and to “significantly” reduce its financial indebtedness.

In this way, according to the agreement, the repayment of the loan has been brought forward to 30 May 2016; a new calendar has been established, which divides the repayment of the existing debt into four phases; and a discount has been established on the existing debt balance, which will be applied to the payment milestones to be made by Realia.

Similarly, the real estate company has increased the amount of the capital increase it initially launched for €87 million, which the real estate company’s majority shareholder, Carlos Slim, has committed to participate in, with the injection of around €21 million, on the basis of the 25.1% stake that he currently holds in the company.

Specifically, Realia’s Board of Directors has agreed to increase the amount of this capital increase from a nominal value of €36 million to €36.81 million, whereby increasing the total number of new shares to be issued by 3.38 million.

In this way, it will issue and put into circulation a total of 153.38 million ordinary shares, with a nominal value of €0.24 each and a share premium of €0.34.

Original story: Cinco Días

Translation: Carmel Drake

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