Optimum RE’s Share Price Rise By 10% In First Week On The MAB

7 October 2016 – La Vanguardia

The CEO of Optimum Re Spain, Josep Borrell Daniel, has positively assessed the debut of his Socimi on the Alternative Investment Market (MAB) and highlighted that its value on the stock market has increased by 10% in just a week.

Borrell was speaking at an event “Socimis: the road to a new real estate sector” organised by Garrigues, Gesvalt and Solventis in Barcelona.

He said that the value of Optimum Re Spain, a Socimi that specialises in the residential market in the centres of Barcelona and Madrid, has increased by 10% on the stock exchange in just a week, following its debut on the MAB.

Optimum RE Spain owns around 15 buildings in Barcelona and Madrid, with an average purchase price of €2,000/sqm and average rents of 4.5%, which will increase to 5% or 6% over the next few years.

Borrell highlighted that his objective is to significantly improve the quality of the buildings and increase their rents with the aim of divesting the assets within a period of seven years to obtain an “attractive return”. He acknowledged that those sales may happen “sooner or later” depending on the evolution of the market.

The fact that the Socimi has purchased at the low point of the cycle means the properties will generate significant returns and he hopes to be able to sell them for between €3,500/sqm and €4,000/sqm.

The Socimi has invested around €70 million to date and still has another €4 million or €5 million to spend.

Borrell said that he is considering constituting another Socimi, similar to Optimum RE Spain or a rental Socimi: “we have the capital, the problem is choosing the product”, he said.

Original story: La Vanguardia

Translation: Carmel Drake

Optimum Re Will Debut On The MAB On 28 September

27 September 2016 – Expansión

The Socimi Optimum Re will debut on the Alternative Investment Market (MAB) on Wednesday 28 September, after the Coordination and Incorporations Committee submitted a favourable assessment report to its Board of Directors regarding the company’s compliance with the incorporation requirements.

The company will require approval in advance from the MAB’s Board of Directors to start trading.

The company’s trading code will be ‘YORS’ and its shares will be traded through a price fixing system. Solventis is acting as the registered advisor and the company’s liquidity provider.

Taking into consideration the two capital increases performed prior to its debut on the MAB, which amounted to €16.61 million in total, the company’s Board of Directors has set a reference value for each one of its shares at €10, whereby valuing the company as a whole at €50 million.

Optimum Re is a real estate investment company managed by BMB CAP Management, which aims to provide returns derived from rental income and capital appreciation that are generated from the selective acquisition and active management of residential properties in Barcelona and Madrid. Currently, the company’s portfolio comprises fourteen properties and the firm expects to complete the acquisition of an additional building before the end of 2016.

Original story: Expansión

Translation: Carmel Drake