Zambal Approves Merger with Iberia Nora & Completes €80M Capital Increase

12 September 2018 – Eje Prime

Zambal has approved its merger with Iberia Nora and has given the green light to its capital increase. Following the General Shareholders’ Meeting, the company managed by IBA Capital has notified the Alternative Investment Market (MAB) that it is going to carry out its integration with the other Socimi, which specialises in the rental of real estate assets.

In addition, Zambal has confirmed the €80 million capital increase that it announced in July. It will conduct it through the issue of 80 million shares with a nominal value of €1 and an issue premium of €0.25, which “will be fully subscribed and paid up through the compensation of loans”.

The capital increase has been fully subscribed by the Socimi’s majority shareholder, Altaya, headquartered in Singapore, which owns 95.21% of the share capital. Of the remaining 4.79%, 4.40% corresponds to Loire Investments Pte. Ltd, also domiciled in Singapore and 0.39% is treasury stock.

The Socimi, which started life in 2013, is an investment vehicle managed externally by IBA Capital Partners. The company specialises in the investment, and subsequent management, of offices and retail assets in cities such as Madrid and Barcelona, although the company also considers other assets such as nursing homes for the elderly, hospitals, retail parks and logistics platforms.

In a recent operation, Zambal purchased two office buildings on Calle Albarracín in Madrid, leased to the French multi-national firm Atos. That operation involved an investment of €38 million.

Without resorting to bank financing, Zambal has constructed a portfolio worth more than €730 million. Some of the company’s other main assets include, for example, the property at number 77 Avenida San Luis (which is home to Gas Natural’s headquarters in Madrid); the Edificio Vodafone, on Avenida de América; and the building at number 118 Avenida Burgos, which is leased in its entirety to BMW.

Original story: Eje Prime

Translation: Carmel Drake

Zambal Buys 2 More Office Buildings in Madrid for €38M

20 December 2017 – Eje Prime

Zambal is fattening up its portfolio with more new assets. The company, which is managed externally by IBA Capital Partner, an independent private equity firm specialising in real estate investments, has added two more office buildings to its portfolio, according to sources at the group. The investment on the acquisition of the two properties by the Socimi has amounted to €38 million.

The Socimi has completed the acquisition of two buildings, located at number 25 Calle Albarracín, in the Julián Camarillo area, which form part of a large office complex, with a total leasable area of 13,283 m2 and 166 parking spaces.

The complex is leased in its entirety to the French multi-national Atos, specialising in digital transformation and which is listed on the Paris stock market. “A single long-term lease contract has been formalised with the current tenant with a compulsory occupancy period of 12 years”, explain sources at the group.

The acquisition price amounts to approximately €38 million, of which €28 million has been paid at the time of the purchase and the remaining €10 million will be paid within the next six months. The sale will be undertaken in its entirety using own funds and financing from the firm’s main shareholder. In addition, Zambal will remodel the building to bring it in line with market standards

The Socimi has formalised a loan with Altaya, its largest shareholder, amounting to €40 million (comprising two tranches, one for €25 million for the payment in December, and another for €15 million, for the delayed payment), with the aim of partially financing the acquisition of the properties, formalised by public deed today.

With these purchases, the Socimi has further increased its asset portfolio, which is now worth more than €730 million. These two office buildings represent the second set of assets that Zambal has acquired in 2017. As Eje Prime revealed, at the end of last month, the company purchased two more office buildings in Madrid for €70 million (…).

Zambal started to acquire assets in June 2013, when it bought a retail property located at number 23 Plaza Catalunya, in Barcelona, which is leased by El Corte Inglés and which has a gross leasable area of 7,400 m2.

Also in 2013, Zambal added more assets to its portfolio: it purchased an office building located at number 25 Avenida San Luis in Madrid and another property located at number 25 Calle Serrano Galvache. In the following years, the Socimi added a building on Paseo de los Olmos in Madrid and another office block on Avenida de Manoteras. In December 2015, Zambal made its debut on the MAB with a market capitalisation of almost €600 million, making it the tenth Socimi to list on the market.

In addition, in recent years, Zambal has undertaken the divestment of assets that it has not considered strategic for its activity. They include the building at number 9 Calle Preciados, which it purchased in October 2013 and which it sold in February 2016, as well as the retail property located at number 61 Calle Serrano, which it also sold in February last year.

Original story: Eje Prime (by C. Pareja & J. Izquierdo)

Translation: Carmel Drake

Zambal Acquires 2 Office Buildings in Madrid for €70M

4 December 2017 – Eje Prime

Zambal is continuing to gain ground as one of the star Socimis in the office sector in Spain. The company, managed externally by IBA Capital Partners, an independent private equity firm specialising in real estate investments, has just invested €70 million in the purchase of two office buildings in Madrid, according to sources at the group.

The company formalised its purchases in November. The first is an office building located at number 96 Calle Santiago de Compostela, in Madrid. The building has a gross leasable area of 14,317 m2 and 182 parking spaces. Currently, the building is leased in its entirety to the Community of Madrid.

The Socimi has also added another property to its asset portfolio in Madrid. That building is located at number 44 Calle Lérida and has a gross leasable area of 4,039 m2. It is currently leased to Gas Natural. According to the group, both acquisitions “have been financed in their entirety using own funds and financing from the main shareholder”. On 23 November, Zambal formalised a loan with Altaya for €60 million.

Moreover, between May and July this year, the company launched a €91 million capital increase on the market through the issue and launch into circulation of 91.2 million shares with a nominal value of €1 each and an issue premium of €0.25 per share, as revealed by Eje Prime. The aim of that capital injection was to add new properties to its portfolio.

With these latest purchases, the Socimi has fattened up its asset portfolio, worth more than €730 million. These two office buildings are the first assets that Zambal has acquired in 2017. Prior to that, the most recent asset that the Socimi added to its portfolio was Gas Natural’s headquarters in Madrid, for which it paid €120 million. That property is located at number 77 Avenida de San Luis in Madrid and is leased in its entirety to Gas Natural (…).

Management team 

The Socimi is managed by executives who have extensive experience in the Spanish and European real estate markets. The head of the company is Thierry Julienne, founding partner of IBA Capital Partners and President of the Socimi. Before taking over the reins of Zambal, the executive was Director of Constructa Asset Managment in Spain and Portugal, Director of the Capital Markets Department at Auguste-Thouard, Co-founder and Director at EXA Real Estate Advisors and founder of Abedo Asset Management.

The executive Jesús Valderrama works alongside Julienne leading the company. He started his career in the international department at Eurohypo and later went on to serve as the bank’s Director of Operations in Spain. Julienne and Valderrama are accompanied by Beltrán Martínez, Administrative and Finance Director of IBA Capital, and Maria Gistau, Director of the Asset Management team at Zambal, who has held several positions of responsibility in companies such as Sonae Sierra.

Zambal has one major shareholder, the company Altaya, which is domiciled in Singapore. The company’s portfolio is primarily focused on buildings used for office and commercial purposes. By region, Madrid accounted for 80% of the Socimi’s rental income in 2015, and Barcelona the remaining 20%.

Original story: Eje Prime (by Custodio Pareja)

Translation: Carmel Drake