Struggling real estate group Immofinanz has sold assets in its native Austria for EUR 130 mln to shore up its badly squeezed financial situation. The firm has to sell properties to meet the need to raise more than EUR 100 mln by the end of the year.
Struggling real estate group Immofinanz has sold assets in its native Austria for EUR 130 mln to shore up its badly squeezed financial situation. The firm has to sell properties to meet the need to raise more than EUR 100 mln by the end of the year.
Immofinanz has said it will need another EUR 150 mln before the end of the book-year in April 2009. Further sell-offs are under negotiation but Immofinanz said it will have to be selective in the deals it does given the difficult market environment.
On Friday, Immofinanz said it had sold the office property City Point Vienna to DekaBank for EUR 93 mln and 10 residential properties for EUR 36 mln to Austrian buyers.
Immofinanz also said last week that the question of what happened to the EUR 512 mln which went 'missing' under former Immofinanz/Immoeast CEO Karl Petrikovics has been resolved.
'Most of the money was evidently used to purchase shares, and some to purchase investments within Constantia Privatbank. Losses were incurred there due to falling share prices. However, the executive board considers the bond to be a solid investment as it is guaranteed by Constantia Packaging BV,' new CEO Thomas Kleibl said.
