24 September 2015 – El Día
The real estate company Quabit has completed the process to restructure the debt it holds with Sareb (which represents 72% of the group’s financial debt) and postpone the final repayment from 2016 until 2022.
Under this new agreement, Quabit agrees to make an early payment of €35.6 million before the end of the year, which will enable it to free up those assets that have potential for short term development. According to a statement from the company, it plans to develop almost 1,000 homes on those sites.
The signing of this agreement will give Quabit the option to conduct the capital increase, approved by its General Shareholders’ Meeting on 30 June, amounting to approximately €70 million.
At the same time, it involves the postponement of the repayment of the remaining debt until 2022, and establishes a calendar of annual payments, which increase as follows: 5.6% over the next three years; 31.4% over the following three years; and 63% in 2022.
Moreover, the agreement establishes compulsory early repayments of 20% of the debt, both in the event of the amounts received as the result of any capital increase (not applicable to the capital increase approved at the most recent General Shareholders’ Meeting), as well as the operating cash for each financial year.
In addition to the forecast compulsory debt repayments, Quabit may make voluntary early repayments for assets of its own choosing, to release them and individually promote their development and subsequent sale.
According to the President of Quabit, Félix Abánades, the company is poised to become a leading player in the Spanish real estate sector once more.
The signing of this agreement, he adds, will allow the group to manage and develop the company’s assets and to realise the capital increase that it is planning to carry out.
On 10 June, Quabit announced that it will increase its own funds by €189 million over the next few years by activating all of the tax credits it has pending, following the successful conclusion of the capital increase that will be proposed at the company’s next General Shareholders’ Meeting.
Original story: El Día
Translation: Carmel Drake