Témpore Debuts on the MAB with a 7.7% Share Price Increase

4 April 2018 – Expansión

The shares of Témpore Properties made their stock market debut yesterday and enjoyed a notable rise despite the wider context of share price decreases. Sareb’s Socimi joined the Alternative Investment Market (MAB) and will list through the fixing system, whereby its share price will be adjusted twice a day, following two auctions. In the first of them yesterday, after the bell was rung, Témpore’s share price had risen by 4.8% to €10.90 with respect to its reference rate of €10.40 at which it had started trading. The company incorporated 14.68 million shares for trading in total, and so, after its first day of trading, the company had a market capitalisation of €164.4 million. Yesterday, 18,952 shares were traded, worth €197,700.

Juan Ramón Dios and Nicolás Díaz Saldaña, the Chairman and CEO of the company, respectively, were responsible for ringing the bell yesterday, together with Jaime Echegoyen, Chairman of Sareb. Saldaña highlighted the specialist nature of the company, which is going to allow it “to optimise its income statement”, as well as the absence of debt, which is why “we have scope to look for resources to undertake our expansion”.

Témpore has begun its life on the stock market with 1,383 homes in Madrid and Barcelona and a housing stock worth around €152 million. Its growth strategy for the next three years includes the purchase of batches of homes from the bad bank to reach 4,200 properties. The purchases will be financed through capital increases in which it expects to open itself up to institutional investors.

The first operation is planned for the end of the year. Saldaña expects to have assets under management worth between €350 million and €400 million. Within three years, he plans to have net assets worth between €500 and €600 million; make the leap onto the main stock market; reduce Sareb’s participation to a minimum; and “make way for strategic investors who will provide stability over the medium and long-term”, said Saldaña.

The CEO has set the following objectives for the company, to begin with: improve the occupancy rate, reduce the default rate and increase rental income, in such a way that the yield exceeds 5%, from the current level of less than 4%.

Similarly, he wants the firm to have a leading role in the consolidation of the sector, given that “in two years, there is going to be a concentration process due to the growth challenges resulting from the scarce supply”.

Original story: Expansión (by R. Martínez)

Translation: Carmel Drake