Santo Domingo Takes Over 3% of Colonial For €11.5 Million

28/02/2014 – Expansion

Colombian group Santo Domingo bought 3% of Colonial´s social capital. According to the current market prices, the company paid €11.54 million for the stake.

By the deed, the group run by family Santo Domingo seals its interest in the real estate market, as the company is one of the three investors who pledged capital enlargement of Colonial in context of refinancing its debt.

The Santo Domingo are to inject €100 million and seize a 3% holding in the real estate firm. (…) The other two investors, namely Villar Mir (22.8% stake) and Andorran Mora Banc (7.5%) will input €300 million and €100 million respectively. (…).

Other shareholders of Colonial are: Coral Partners (14.7%), Goldman Sachs and Crédit Agricole (4.9% each) and Fidelity International (3.38%).

Presently Colonial is struggling to meet requirements imposed by the three investors before the capital injection. Thus, it is negotiating a loan of about €700 million to redeem a part of the existing, €2.100 million debt. Moreover, the company is preparing a sale of 20% of the French Société Foncière Lyonnaise (SFL) and is looking forward to shed its developer branch Asentia.


Original article: Expansión (EP)

Translation: AURA REE