Renta Corporación In A Joint Venture With Kennedy Wilson

24/12/2014 – El Mundo

Renta Corporación has signed an agreement with Kennedy Wilson Real Estate Europe to create a joint venture with the aim of investing in residential buildings in Spain; the company has notified the National Securities Market Commission (CNMV).

Renta Corporación will have a 10% stake in the joint venture and assume the role of an operations manager. It has also signed the first transaction of purchase and conversion of an office building into luxury homes, located at Calle Santísima Trinidad, number 5, in Madrid, with a planned investment of over €10 million.

The two partners plan to start marketing these new homes in the third quarter of 2015.

Renta Corporación successfully carried out a growth capital operation through which SAREB became a shareholder of the realtor with a 4.9% stake.

With this operation, approved at a shareholders’ meeting in early November 2014, the company has let creditor banks take part in its capital structure; these creditor banks have opted to swap their debt for shares of the company that recently overcame an insolvency proceeding.

Specifically, SAREB has acquired shares representing a 4.9% stake, while ING and Banco Popular – 3% each, and Banco Caixa Geral – 2%.

The start of trading of the new shares is to take place just a little over a month after October 30, 2014, the date on which Renta Corporación resumed its trading after winning the bid in which it had been involved in since March 2013.

Original article: El Mundo (by Europa Press)

Translation: Aura REE