Galil Capital Acquires Building in Barcelona for €4.2 Million

17 December 2019 – The socimi Galil Capital has acquired a residential building in the neighbourhood of La Sagrera in Barcelona for 4.2 million euros. The asset, located at Calle Concepció Arenal 79, consists of 24 flats and three stores on a basement, ground floor and six upper floors. The building has a total of 2,873 square meters of surface area and is nearly fully leased.

The socimi financed the acquisition through its last capital increase and a €1-million mortgage linked to a part of the property at Calle Còrsega 689 in Barcelona.

Original Story: Eje Prime

Adaptation/Translation: Richard D. K. Turner

Galil Capital Revises its Loss Forecast for 2019 Down to -€25M

1 April 2019 – Eje Prime

Galil Capital, the Socimi led by the Israeli businessman Gil Avraham Shwed expects to close the year with losses of €25 million. It has revised its forecasts down from losses of €46 million (-44%) after completing a €6.59 million capital increase, which will allow it to acquire new residential properties. As such, the Socimi expects to increase its rental revenues by 5% to €1.26 billion.

Galil Capital expects to add one small and one medium-sized building to its portfolio this year. At the end of June 2018, its portfolio comprised six assets and was worth €31.36 million.

Original story: Eje Prime

Translation/Summary: Carmel Drake

Galil Capital Completes a €7.9M Capital Increase

5 February 2019 – Eje Prime

Galil Capital is raising funds to continue growing its portfolio. The Socimi is going to increase its share capital by €7.9 million, compared with the figure of €8.74 million planned initially, according to a statement filed with the Alternative Investment Market (MAB).

Once the term for the preferential subscription and discretional allocation of shares has ended, Galil explained that the share capital will be increased by €6.59 million, corresponding to 658,710 new shares and to a total disbursement of €7.9 million.

The shareholders of the Socimi, controlled by the Israeli businessman Gil Avraham Shwed, approved the capital increase of up to €8.74 million last November. With this operation, promoted just one month after it raised €4.5 million in bank loans, the company is intending to finance the purchase of new assets.

Galil Capital started life in 2015 and specialises in the investment and management of properties in Madrid and Barcelona. The Socimi is led by Jerry Mandel, former CEO of Merrill Lynch, who is the founder and owner of GC Nadlan, the company that manages the real estate firm (…).

According to the latest available information, corresponding to June, Galil Capital’s portfolio comprises six assets, all of which have residential use, worth €31.36 million (…).

Original story: Eje Prime (by Marta Casado)

Translation: Carmel Drake

Galil Capital Buys a Residential Building in Barcelona for €3.8M

19 July 2018 – Eje Prime

Galil Capital is already starting to use the €4.5 million it raised last week. Taking advantage of the two loans it signed recently, the Socimi has purchased a building in the Grácia neighbourhood of Barcelona for €3.8 million, according to a statement filed by the company with the Alternative Investment Market (MAB).

The asset, located at number 9 Calle Escorial, comprises fourteen homes and two retail premises, all of which are leased. The building has a surface area of 1,603 m2 and was acquired on 17 July.

The Socimi owned by Gil Avraham Shwed, founder of the technology firm Check Point has funded this operation using the two loans that were signed just a few days ago. The first is a bank loan amounting to €2.5 million and the second is a €2 million loan that the majority shareholder granted to the company. “This acquisition has been financed using available cash following the drawdown of new financing subscribed by the company”, said the group in a relevant fact sent to the MAB.

Galil Capital owns a portfolio comprising seven residential properties located between Madrid and Barcelona. The valuation of its assets exceeds €31 million.

The Socimi’s plans at the time of its debut on the MAB included carrying out two acquisitions during the course of 2018. For the time being, it has fulfilled half of that objective through this operation in Cataluña.

The company seeks residential assets in Barcelona and Madrid, above all small- and medium-sized buildings (with between ten and fifty assets per building), although it does not rule out investing “at least 25% of its funds in commercial assets in Madrid and Barcelona and even in properties outside of the two major capitals”.

Original story: Eje Prime

Translation: Carmel Drake

Galil Capital Raises Financing Worth €4.5M to Continue its Growth

12 July 2018 – Eje Prime

A larger cushion for Galil Capital’s growth plans. The Socimi has signed a double operation to raise more funds. On the one hand, the company has signed a bank loan amounting to €2.5 million and, on the other hand, it has agreed a €2 million loan with its majority shareholder. “With these operations, the company is strengthening its financial capability to fulfil its strategy of new real estate acquisitions and capex projects”, say sources at the company.

The mortgage loan amounting to €2.5 million will have to be repaid in 2038 and has a one-year (repayment) grace period. The agreed interest rate amounts to 2.1% until July 2019 and will revert to Euribor plus 2.1% for the remainder of the period, according to a statement filed by the company with the Alternative Investment Market (MAB). By way of collateral for the loan, Galil has granted a mortgage right over the property that it owns at number 23 Calle Bejar in Madrid.

The loan from the majority shareholder, amounting to €2 million, will have to be repaid in December 2019 and the interest rate, in that case, amounts to 3%. The company is led by Jerry Mandel, a former executive of Merrill Lynch, but the majority shareholder is Gil Avraham Shwed, who controls 54.81% of the share capital.

Galil Capital owns a portfolio comprising six properties, all of which are residential use buildings located in Madrid and Barcelona. The valuation of the six assets amounts to €31.36 million.

The Socimi’s plans when it debuted on the MAB involved carrying out two acquisitions during the course of 2018. Nevertheless, the Socimi has not undertaken any operations during the first half of the year.

The company is looking for residential buildings in Barcelona and Madrid, above all small and medium-sized buildings (with between ten and fifty assets per building), although it does not rule out investing “at least 25% of its funds in commercial assets in Madrid and Barcelona as well as in properties outside of those two cities”.

Original story: Eje Prime

Translation: Carmel Drake

Israeli Fund Galil Capital Injects Funds into its Spanish Socimi

17 May 2018 – Eje Prime

Galil Capital wants to grow in Spain and, to that end, is giving a boost to its Socimi with a capital increase amounting to €200,000. The Socimi, controlled by the Israeli businessman Jerry Mandal, former director of Merril Lynch, has included this matter on the agenda for its next General Shareholders’ Meeting, convened for 21 and 22 June, according to a statement filed by the listed company with the Alternative Investment Market (MAB).

Created in 2015, the Socimi invests in residential properties in Madrid and Barcelona. Its assets, which, in many cases, also include commercial premises, mean that the company had a valuation of €20.5 million on the day it made its stock market debut. Galil Capital rang the bell on the MAB on 28 February with a portfolio comprising four entire buildings in Barcelona and a fifth in Madrid.

In the Catalan capital, the Socimi owns properties in the Eixample, Gótico and Gràcia districts. Specifically, the real estate company has two assets on the central streets of Calle Corsega and Unió, and the other two are located in the high part of the city, on Calles Bretón de los Herreros and Aulestia i Pijoan.

The only asset that the Israeli fund owns in Madrid contains 44 homes and two commercial premises. That property, located on Calle Granada, is not expected to be the last one acquired by the Socimi, which is now increasing its share capital through the issue and placement into circulation of 20,000 new shares.

The businessman who is leading Galil in Spain, Mandel, is the founder and owner of GC Nadlan, the company that manages the real estate company. An industrial engineer, the multi-millionaire Israeli is also the CEO of GC Florida Group, a company through which he invests in the second market in which he has a presence, the USA.

Nevertheless, the Israeli executive does not hold more than 14.1% of the shares in the Spanish Socimi. Mandel directs the investments with the trust of a group of primarily Israeli businessman, including Gil Avraham Shwed, who owns 56.4% of the company’s shares.

Gil’s commitment to Spain reflects the forecasts that the company itself has for the country, where it predicts that “real estate prices are going to rise by between 20% and 30% over the next few years”.

In addition to this Socimi, in recent years, Galil Capital has created up to five investment vehicles in the state of Florida in the USA to “take advantage of the recent crisis in the residential real estate market” in the region. Mandel and his team even have a line of business that is separate from real estate through which they provide financial advice to Israeli companies in the process of listing on the Nasdaq.

Original story: Eje Prime 

Translation: Carmel Drake