Catella Property Group is closing its loss-making office in Brussels as part of a move to reduce its transaction advisory business in Belgium 'for the time being'.
Catella Property Group is closing its loss-making office in Brussels as part of a move to reduce its transaction advisory business in Belgium 'for the time being'.
The decision was taken based on 'profitability challenges in Belgium, combined with the need for restructuring the Brussels office management team', the Stockholm-based firm said. Catella Property is part of the Catella AB financial services group.
'After analysing the market potential and the competitive situation the decision has been taken to reduce our current exposure to the Belgian transaction market. Parallel to this decision and as a consequence of the recently announced merger of Scribona and Catella, Catella is at the same time increasing its presence in Luxembourg with more than one hundred persons in the finance sector,' says Catella's Group CEO Johan Ericsson.
The Brussels advisory business has for the past three years, on average, contributed approximately 3% of the total revenue of the Catella Group, and has been unprofitable on a pre-tax profit level.
In late May listed Swedish company Scribona partnered with Catella management to acquire Catella AB. The merged company Scribona-Catella has operations in 14 countries, with a transaction volume of almost EUR 30 bn during the past three years and assets under management of approximately EUR 4.5 bn.
