Quabit’s Losses Decreased By 45% In H1 2016

16 August 2016 – Expansión

Quabit has closed the first half of the year with a net loss of €3.29 million, representing a reduction of 45% compared with H1 2015. The firm chaired by Félix Abándades has multiplied its revenues five-fold, to €21.1 million, and has reduced its net debt by 4% to €216.8 million as at the end of June.

The real estate group recorded gross operating losses of €3.45 million, which represents a reduction of 41% with respect to the negative balance recorded during the same period in 2015.

Quabit – which is in the middle of a five year business plan – underlined the fact that both the generation of revenues as well as of profits will “happen gradually” as its residential projects progress. They have a maturity period of between 24 to 36 months, which means that, during the first two years of the plan, the company’s EBITDA will remain negative.

The group added that, during this period, it will be possible to obtain profits through discounts on its debt and the gradual activation of tax credits. Quabit has agreed payment conditions on its debt that will allow it to register profits from discounts on its debt amounting to €55 million. It also has unregistered tax credits on its balance sheet amounting to €183 million.

On Friday, the company’s share price fell by 0.31% on the stock exchange to €1.74.

Original story: Expansión (by R. Arroyo)

Translation: Carmel Drake

Quabit Signs Debt Refinancing Agreement With Sareb

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