Advero Properties Receives Green Light for Stock Market Listing on Spain’s MAB

8 November 2019 – Advero Properties has been approved for its stock market debut by the Alternative Stock Market (MAB). The firm’s board of directors set an initial share price of 6.5 euros, valuing Advero at 10.6 million euros.

The firm will trade under ‘YADV’. Solventis is the registered advisor of the company and will also act as a liquidity provider.

Original Story: La Vanguardia

Adaptation/Translation: Richard D. K. Turner

Haya Real Estate Tops Off its Annus Horribilis with Losses of €0.5M

18 June 2019 – El Confidencial

Haya Real Estate suffered an “annus horribilis” in 2018 after it failed to debut on the stock market and was unsuccessful in its efforts to renegotiate its contract with Sareb (discussions are still on-going). Those events were further compounded by the servicer’s recently published results for the year, which saw it record losses of €445,000, compared with a profit of €32.57 million in 2017, despite a 6.7% increase in revenues to €273.7 million.

The losses were caused by several factors, both accounting and operational nature, and would have been even greater had the group not consolidated the results of Haya Titulización, which contributed profits of €1.27 million.

In fact, the real estate servicer platform Haya Real Estate itself recorded losses of €1.7 million in 2018 compared with profits of €20 million last year. They were caused in part by the new contract that the servicer signed with Bankia in 2018, to include BMN’s assets, which involves disbursements and amortisations during the first few years and which have penalised the company in accounting terms. In addition, Haya purchased the company Mihabitans from Liberbank in June 2018.

Specifically, the amortisations of the management contracts of Bankia and Liberbank increased by more than €20 million YoY in 2018, which, combined with the poor performance of other operating costs (they soared by 46% to €92.2 million) meant that the servicer had little chance of repeating its success of 2017.

Original story: El Confidencial (by Ruth Ugalde)

Translation/Summary: Carmel Drake

Haya Real Estate Looks to Expand into Italy & Greece to Grow its Business

27 May 2019 – Expansión

Haya Real Estate, the servicer controlled by the US investment fund Cerberus, is looking to grow its business. Following its merger with Divarian (formerly Anida), it is now the second largest servicer in Spain, after Altamira, with 1,200 employees and €47 billion in assets under management.

In order to diversify its portfolio, the servicer led by Carlos Abad (pictured above) is evaluating its expansion into Italy and Greece, two emerging markets in which multiple NPL investment and management opportunities are expected to arise in the short term. That would help alleviate concerns over Haya’s future, which currently depends heavily on the outcome of the servicer’s negotiations with Sareb, whose contract is due to expire in December.

The future of Haya Real Estate has been up in the air since its stock market debut was postponed last year. Cerberus has held its stake in the servicer for six years now and is keen to exit soon given that its typical investment rotation period amounts to five years. Following the postponed IPO, the US giant is now holding preliminary conversations with several other investment funds interested in acquiring its stake, but the price will depend on the servicer’s future with Sareb.

Original story: Expansión (by Rebeca Arroyo)

Translation/Summary: Carmel Drake

VBare Launches a €30M Capital Increase

19 May 2019 – Eje Prime

VBare Iberian Properties has launched a capital increase to grow its portfolio and make the leap to the main stock market before 31 March 2020. The company has just approved a capital increase amounting to €30 million, which will be executed through the issue and launch into circulation of up to 2,238,339 ordinary shares.

At the same time, the company’s Board of Directors has committed to making “every effort” to list VBare on the main stock market before the end of the first quarter of 2020. The Socimi recorded profits of €1.1 million during Q1 2019 and of €4.8 million in 2018.

Original story: Eje Prime

Translation/Summary: Carmel Drake

Inbest Prepares New Investment Vehicle for Retail Parks & Finalises MAB-Debut of its Socimis

15 May 2019 – Eje Prime

Corpfin Capital Real Estate is planning to launch a vehicle to invest up to €60 million in retail parks. Meanwhile, it is working towards the debut of its four Socimis on the Alternative Investment Market (MAB) in June.

To date, the company has been channelling its investment in retail parks through a vehicle it created in 2015, Corpfin Capital Retail Parks, with an investment volume of €44 million. But now it is going to create a second vehicle, Inbest Parks II, which will have €60 million to spend, with the aim of providing continuity and attracting new investors.

In parallel, the company is focused on the MAB debut of its four Socimis, which are due to list for the first time on 27 June. In total, the companies have an investment volume of €400 million, comprising own funds and debt. Most of that figure (€378 million) has already been invested in the purchase of three buildings from El Corte Inglés and the acquisition of the commercial premises in Edificio España.

Original story: Eje Prime (by Marta Casado Pla)

Translation/Summary: Carmel Drake

CNMV Approves Millenium Hotel’s Stock Market Debut

26 March 2019 – El Confidencial

A new hotel giant is getting ready to make its stock market debut. Millenium Hotels, the platform that Javier Illán has been growing for the last two years, has just received approval from Spain’s CNMV to make the leap onto the stock market before the summer. The company will begin a road show with investors in April, with the aim of making its debut between the end of June and the beginning of July.

Millenium Hotels will start by trading on the MAB, before moving onto the main stock market once it is sufficiently large enough. The firm owns eight assets, including the 4-star Hotel Vía Castellana in Madrid, and has already received funding amounting to €100 million from mutual, insurance companies and family offices. Moreover, it is negotiating the purchase of four more properties.

Original story: El Confidencial (by R. Ugalde)

Translation/Summary: Carmel Drake

Mazabi to Grow its Socimi to Make Stock Market Debut with €1bn in Assets

18 March 2019 – Expansión

Mazabi, the firm that manages the wealth of 35 family offices and which owns €1.54 billion in assets, is getting its ducks in a row ahead of the planned debut of its Socimi Silicius. The intention is for that entity to take ownership of the majority of the firm’s rental properties and whereby grow its portfolio to at least €1 billion before its IPO.

Currently, Silicius owns 17 assets, spanning 71,244 m2, worth €156 million in the office, retail, hotel and logistics segments. During 2019, new properties will be transferred to it to increase its portfolio to €740 million by the end of the year, with an associated debt of €240 million.

Moreover, 80% of the operations that the manager executes over the coming months will also be transferred to the Socimi. Mazabi typically invests between €100 million and €150 million per year, according to its CEO, Juan Antonio Gutiérrez (pictured above).

New investors

At the same time, Mazabi is looking for investors who want to get involved in its project. To this end, it has engaged KPMG to find an investor to acquire a stake in the Socimi before it is listed. At this stage, the firm has not decided whether Silicius will make its debut on the MAB or the main stock market. The timings have not been confirmed either, but if Silicius is registered as a Socimi in July, then it would make its debut on the MAB no later than July 2021.

Original story: Expansión (by Rebeca Arroyo)

Translation/Summary: Carmel Drake

Corpfin Prepares for Stock Market Debut of its Socimi Inbest

12 February 2019 – Idealista

The Socimis are continuing to make inroads in the real estate market. There are now more than 70 listed vehicles operating under this regime in Spain, and another twenty new vehicles could make their stock market debuts soon, according to the experts.

They include five that the manager Corpfin Capital Real Estate has been promoting through its investment vehicle Inbest Real Estate, including a company called Inbest Prime Inmuebles Socimi. And it is precisely that company that is finalising its stock market debut.

According to explanations provided by the manager to Idealisa News, the purchases that Inbest has completed recently have been materialised through those Socimis and its objective is for them to be listed on the stock market by September this year at the latest, just two years after their constitution and, therefore, by the deadline established by the legislation for continuing to enjoy tax incentives. Nevertheless, the firm chaired by Javier Basagoiti expects that the Socimis will be listed before the summer.

Although the valuation of the assets and the price at which the shares will debut are not yet known, the portfolio will include some very well-known and sought-after assets. They include four commercial premises in Edificio España in Madrid, whose purchase was recently signed between Inbest and the hotel chain RIU, the owner of the skyscraper, for almost €160 million. The investment vehicle’s plans include establishing four flagship stores for first-rate operators from the textile and restaurant sectors.

The assets also include three others that Inbest has acquired in recent months from the Spanish department store giant: El Corte Inglés. One of them is located on Calle Colón in Valencia and spans 7,000 m2, distributed between two adjoining premises, whilst another is located on Calle Princesa in Madrid, and another still on Gran Vía in Bilbao, with a combined surface area of almost 8,800 m2 in the case of the latter two. The investment in those three buildings amounted to around €180 million.

The Socimis have a combined investment objective of €400 million (half from own funds), of which almost 85% has now been consumed, whilst the remaining amount (around €60 million) could be targeted towards a new acquisition, given that that is exactly the ticket size that the manager is interested in.

Inbest’s strategy for this game of poker between the Socimis is based on searching for assets located in prime situations (above all in Madrid, Barcelona and other important provincial capitals), and focusing on unique assets in the commercial sector. Barring any last minute changes, the firm will keep the Socimis active for at least five years after finalising the investment period (…), although that term may be extended for another two years (…).

Original story: Idealista (by Ana P. Alarcos)

Translation: Carmel Drake

Ores Doubles its Portfolio in a Year & Closes 2018 with Assets Worth €357.4M

11 February 2019 – Eje Prime

Olimpo Real Estate (Ores) is establishing itself in the market. The Socimi owned by Bankinter and Sonae Sierra closed last year with a portfolio comprising 34 assets worth €357.4 million. In this way, the company has doubled the valuation of its assets since the end of October 2017, a few months after it made its debut on the stock market. At that time, the firm held a total of 16 investments worth €172.6 million.

At the end of 2018, the value of the Socimi’s portfolio amounted to €357.4 million across 34 assets, comprising mainly hypermarkets (28.5%) and supermarkets (14.7%), retail parks (15.2%) and out-of-town stores (14.4%), as well as premises (8%) located on the main streets of large cities.

During the last four months of 2018, four investment operations were undertaken for a total value of €27.5 million. Specifically, the firm completed the purchase of two supermarkets, an out-of-town store in Santander and a commercial premise in Vigo.

“These operations are in line with Ores’ investment strategy, in urban locations in Spain’s main cities, and with first-class operators as tenants and long-term and stable lease contracts”, said the company in a statement sent to the Alternative Investment Market (MAB).

Ores is a company whose main activity is the acquisition and management of commercial real estate assets, both in Spain and Portugal. The company was created in December 2016 by Bankinter and Sonae Sierra, made its stock market debut at the end of February 2017 and has been increasing its investments and assets ever since.

Original story: Eje Prime

Translation: Carmel Drake

Ibercaja Finalises the Sale of a €600M Real Estate Portfolio

8 December 2018 – El Periódico de Aragón

Ibercaja is continuing to take steps to best position itself ahead of its stock market debut, which is scheduled for next spring. The Aragon-based bank wants to divest more real estate assets before the end of the year to clean up its balance sheet and improve profitability, an objective that it expects will materialise in the coming weeks with the sale of a portfolio of problem assets worth around €600 million, according to confirmation provided by the entity yesterday to this newspaper. To carry out this operation, which is called Project Cierzo, it has engaged the investment bank Alantra, which is finalising the negotiations to find a buyer.

The move by Ibercaja follows the widespread practice across the whole Spanish financial sector and forms part of its strategic plan for 2018-2020, whose goals include the aim of reducing its toxic property assets by half (doubtful and foreclosed) with the mixed sale of around €2 billion in land and housing. That would help to improve efficiency, by bringing it below 55%, and would make the entity more attractive for future investors.

During the period 2015-2017, the bank led by Víctor Iglesias (pictured above, left) managed to clean up €1.6 billion. At the end of the third quarter of 2018, the volume of problem assets amounted to €3.9 billion, which represented a decrease of 10.1% (€437 million) with respect to the same period last year and of 7.3% (€304 million) compared to the end of 2017 (€4.2 billion), according to the figures provided by the entity at the beginning of November. Based on those numbers, Project Cierzo – which was revealed by Voz Pópuli – would represent a significant step towards the objective of cutting the entity’s real estate balance in half by 2020, as there would be around €1 billion left to achieve that goal.

A month ago, Ibercaja announced that it had engaged the bank Rothschild, as an independent advisor for its stock market debut, a step that European legislation requires it to take before the end of 2020. Currently, the Aragon-based bank is controlled by the Fundación Ibercaja, which owns 87.8% of its share capital, a stake that must be reduced to below 50% to avoid a fine. The other shareholders are the foundations of three former savings banks –CAI, 4.85%; Badajoz, 3.9%; and Círculo de Burgos, 3.45%– which it absorbed when it purchased the Caja3 group in 2013.

The entity is working to ensure that its valuation is as high as possible, and so the specific date for the IPO will depend on the evolution of the market. Nevertheless, it is most likely that it will make the leap during the second quarter of 2019.

Original story: El Periódico de Aragón (by J. H. P.)

Translation: Carmel Drake