Deutsche’s Socimi Trajano Debuts On MAB With A 4% Rise

31 July 2015 – Expansión

The socimi Trajano Iberia, which is managed and promoted by a division of Deutsche Bank, has debuted on the Alternative Investment Market (‘Mercado Alternativo Bursátil’ or MAB) with a rise of 4.01%, which saw its share price increase to €10.38.

By 12:00h, 2,650 shares in the company had been traded for a total price of €27,507.

The company, which yesterday became the sixth socimi to list on the market, debuted on the stock market after completing a €94.8 million capital increase, carried out by investors in the Wealth Management division of Deutsche Bank in Spain.

The company debuted on the market at a price of €9.98 per share, according to Spain’s Stock Exchanges and Markets body (‘Bolsas y Mercados Españoles’ or BME).

Trajano’s shares are traded through a price-setting system, which matches supply and demand through two daily auctions or “fixings” (at 12:00h and 16:00h).

The socimi has its eyes firmly set on office assets in “semi prime” locations in Madrid and Barcelona and “prime” locations in secondary cities. It is also looking at shopping centres and retail parks, as well as logistics assets in Madrid, Barcelona, Zaragoza, Valencia and the País Vasco.

The company expects to complete its investments within a maximum period of 24 months, although that timeframe may be reduced in light of the strong sentimient that currently exist in the real estate sector.

The company is managed by the team responsible for the real estate division of Deutsche Asset & Wealth Management in Spain and Portugal.

Currently, the entity manages real estate assets worth more than €46,000 million around the world, and €740 million in Spain and Portugal.

Deloitte acted as the Registered Advisor and BEKA Finance as the liquidity provider. (…).

Since last year, several companies have listed on the stock market under the socimi structure, including: Lar España Real Estate, Hispania, Merlin Properties, Axiare and Uro Property.

Original story: Expansión

Translation: Carmel Drake

Deutsche’s Socimi Trajano To List On MAB On 30 July

27 July 2015 – El Día

The Socimi Trajano Iberia, which is managed and promoted by a division of Deutsche Bank, will begin trading on the Alternative Investment Market (Mercado Alternativo Bursátil or MAB) on 30 July, whereby becoming the sixth listed real estate investment company to be publicly traded on the stock exchange.

Trajano will debut on the MAB once it has completed its €94.8 million capital increase, which is being led by investors of the Wealth Management division of Deutsche Bank in Spain.

Under the ticker “YTRA”, the company will debut on the stock market at a share price of €9.98, according to a statement by the Spanish Stock Exchanges and Markets (‘Bolsas y Mercados Españoles’ or BME).

The listing will be performed through a price-fixing system with the matching of supply and demand in two daily auctions or “fixing” periods (at 12:00h and 16:00h).

Trajano Iberia will invest in offices in “semi-prime” locations in Madrid and Barcelona and in “prime” areas of secondary cities. It will also seek out shopping centres and retail parks, as well as logistics assets in Madrid, Barcelona, Zaragoza, Valencia and the País Vasco.

According to the company’s strategic plan, Trajano Iberia will materialise its investments within a maximum period of 24 months, however the management team considers that this period could be reduced on the basis of the strong prospects that the real estate sector is currently enjoying.

The company will be managed by the team responsible for the real estate division of Deustche Asset & Wealth Management in Spain and Portugal.

Currently, Deutsche Bank manages real estate assets worth more than €46,000 million around the world and €740 million in Spain and Portugal.

Deloitte is acting as the registered advisor and BEKA Finance as the liquidity provider. Since last year, several companies have listed publicly under the Socimi structure.

The first company to debut on the stock exchange was Lar España Real Estate, on 5 March, with initial capital of €400 million. The next company to list in the sector was Hispania, the listed company controlled by the fund manager Azora and owned by the multimillionaires George Soros and John Paulson, who subsequently created a Socimi through which they have made several purchases.

Meanwhile on 30 June, the Socimi Merlin Properties, starred in the largest IPO since 2011 with a valuation of €1,250 million. Axiare also listed on the stock exchange, with a valuation of €360 million, as did Uro Property, the Socimi that owns one third of Santander’s branches.

Original story: El Día

Translation: Carmel Drake

Blackstone Finalises MAB Listing Of Its VPOs In Spain

3 June 2015 – Expansión

Almost 3,000 VPOs / The US fund is completing the final steps for the IPO of its Spanish subsidiary Fidere Patriomonio on MAB. It will do so through a small private placement, advised by Renta 4 and Clifford Chance.

The social housing that Blackstone owns in Spain will be listed on the stock exchange within the next few weeks. The US fund is working on the debut of its subsidiary, the Socimi Fidere Patrimonio, on the Alternative Stock Exchange (Mercado Alternativo Bursátil or MAB); the subsidiary  purchased almost 3,000 social housing properties (VPO) during the crisis.

The US investor has engaged Renta 4 as its advisor and Clifford Chance as its legal advisor for its market debut. The operation, which is still pending approval by several authorities, will replicate the model used by Uro Property, the Socimi that owns a third of Santander’s branch network in Spain.

Thus, Fidere Patrimonio will float by listing – through a private placement – the minimum amount of capital required by law, i.e. around €2 million. The Socimi will list on the MAB with the goal of not losing the tax relief afforded to this kind of company, including exemptions for the payment of Corporation Tax.

Progress

As part of the listing process, Fidere has: appointed Iberclear as the accounting entity; created a website for investors; and amended its bylaws.

According to Blackstone, the MAB listing will be completed before the summer. Fidere’s market debut comes at a time when the local and regional election results are threatening to change the rules of the game with respect to the public sale of social housing.

In fact, Blackstone purchased the majority of its 3,000 VPO homes from the Municipal Company for Land and Housing (Empresa Municipal de Vivienda y Suelo or EMVS). The US fund paid €125.5 million for 18 residential developments in July 2013, which included 1,860 homes in total. The developments are located in the Madrilenian neighbourhoods of Carabanchel, Centro, Villa de Vallecas and Villaverde.

Subsequently, the fund complemented Fidere’s portfolio with other transactions. In November 2013, it purchased another 420 VPO homes from FCC for just over €30 million.

Two months later, the US fund won the auction to buy 600 VPO homes from Sareb, for which it paid almost €50 million. Most of the homes came from Catalunya Banc and Bankia, and were located in Madrid, Barcelona and Guadalajara.

In August 2014, Blackstone closed its final major purchase of VPO homes. The fund acquired 26 of Bankia’s real estate development companies, which included 3,000 homes in different stages of development: completed, under construction and in the initial phase. Initially, only one of the 26 companies has been included in Fidere.

Fidere’s board is led by two of Blackstone’s executives, Francois Bossy Jean – Chairman – and Diego San José – Director of the RE business at the fund – , together with an executive from the consultancy firm Magic Real Estate, Miguel Oñate.

Plans for growth

Beyond the listing on MAB, Blackstone is planning to continue to acquire rental housing so that Fidere can become one of the key players in this market in Spain. Once it is listed on the stock exchange, new investors will be able to enter through capital increases and the sale of shares.

With its stock market debut, Fidere will become the eighth Socimi to list on the stock market since the regulations changed at the end of 2013.

Original story: Expansión (by J. Zuloagar and R. Ruiz)

Translation: Carmel Drake