12 March 2019 – El Confidencial
The Villar Mir group has decided to clean up its asset portfolio in order to pay off some of its debt and, to this end, has put two companies up for sale: ‘Promociones y Propiedades Inmobiliarias Espacio’ (Priesa), which owns a variety of land and homes, and Fertiberia, the multi-national fertiliser firm.
These two operations form part of the group’s wider reorganisation process, which is being led by the CEO, Javier López Madrid. They will join the partial divestment of Ferroglobe and the possible IPO of OHL, both of which have already sparked great interest in the sector.
The Villar Mir family has entrusted the sale of Inmobiliaria Espacio to Savills Aguirre Newman, which will begin by performing a valuation of the assets. Project Caleido, involving the construction of a 180-metre tall tower, on Paseo de la Castellana, will be excluded from the deal.
Priesa has returned to profits in the last two years, following several years of losses, which forced the majority shareholder to provide a €175 million participation loan as part of a rescue plan. The company’s main appeal lies in its sizeable, high-quality portfolio of land for development, in good locations, which was valued by RICS to be worth €257 million at the end of 2017.
Meanwhile, sources report that Villar Mir has also engaged Lazards to find a buyer for Fertiberia, for which it could receive around €250 million.
Sources close to the operations point out that it is unlikely that all of the deals in the pipeline will go ahead. What is clear is that Villar Mir will have to divest some assets to repay as soon as possible the €365 million that Tyrus lent the group in November last year.
Original story: El Confidencial (by Agustín Marco)
Translation: Carmel Drake