Apr 26, 2008
The banks that have lent the principal shareholders of the Colonial equivalent of three billion dollars have begun to sign agreements to exchange their claims against equity participation of Spanish real estate group.
La Caixa, Banco Popular, Bankinter Bancaja and announced that they had restructured debt with the former president of Colonial Luis Portillo and they take a portion of their payment in the form of shares. Others were to follow in the day.
Several Spanish real estate groups, victims of the bursting of the bubble after a Spanish real estate boom which lasted ten years, conducting discussions on restructuring their debts with their creditors.
In the case of Colonial, it will be the first time that banks take direct stakes in the debtor rather than renegotiate the terms of credits or lengthen the maturity of the debt.
Portillo and Luis Nozaleda control 42% of Colonial, which almost all served as collateral for loans but the banking syndicate will be less than 30% of Colonial and will therefore not obliged to launch a takeover bid in good and due form .
La Caixa will hold 5.4% Colonial in partial payment of a loan of 161.3 million euros. Popular will be 9.15%, Bancaja Bankinter 2.77% and 0.46%. Natixis has already exchanged claims against 5.4% stake in Colonial, which derives the bulk of profits from the rental of offices in Paris, Barcelona and Madrid.
Jane Barrett, French Wilfrid Exbrayat
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by erectusplus at 9:27 PM |
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