Spanish property company Colonial said it is rethinking the sale of its shopping centre development unit Riofisa in light of the 'difficult situation in the real estate and financing markets.' In a statement to the Spanish stock market regulator this week, the company said that it will look for alternative options to the disposal plan, which has not progressed since September last year when it was announced as part of a series of measures agreed with the company's creditor banks.
Spanish property company Colonial said it is rethinking the sale of its shopping centre development unit Riofisa in light of the 'difficult situation in the real estate and financing markets.' In a statement to the Spanish stock market regulator this week, the company said that it will look for alternative options to the disposal plan, which has not progressed since September last year when it was announced as part of a series of measures agreed with the company's creditor banks.
Colonial, which is controlled by its creditor banks since April last year, said that it could put in place a new asset disposal plan if the sales of non strategic assets planned in last year's agreement with creditors will not progress as initially hoped. The company will work together with its banks to find 'new ways that will allow it to cover a possible liquidity shortage and missing payments on its debt.'
