Martinsa of Spain has received the green light to take over 86.48% of rival Fadesa Inmobiliaria, Martinsa said in a statement to the Spanish stock market regulator CNMV. The merger of the two real estate groups is scheduled for completion by end-June, pending approval from shareholders representing 54% of the share capital. Martinsa launched an offer of €35.70 per share in September 2006, valuing Fadesa at about EUR 4 bn.
Martinsa of Spain has received the green light to take over 86.48% of rival Fadesa Inmobiliaria, Martinsa said in a statement to the Spanish stock market regulator CNMV. The merger of the two real estate groups is scheduled for completion by end-June, pending approval from shareholders representing 54% of the share capital. Martinsa launched an offer of €35.70 per share in September 2006, valuing Fadesa at about EUR 4 bn.
Martinsa's chairman Fernando Martin said that eight institutional investors, including five savings banks, will take stakes in the realtor. Martinsa's core shareholders will include Sos Cuetara's chairman Jesus Salazar, former Inditex managing director Juan Carlos Rodriguez Cebrian, as well as Spanish lenders Bancaja, Caja Navarra, Caixanova, Caja Avila, and Caja Burgos. These investors will buy into Martinsa's share capital through a EUR 600.7 mln rights issue that will finance the acquisition of Fadesa.
In a statement, Martinsa said it has also taken out a €75 mln loan with Caja de Ahorros y Monte de Piedad to finance the transaction. In addition to the minority stakes taken by the eight institutions, chairman Fernando Martin will own 55.97% of Martinsa, while the Martin Redondo family will hold 18.65%, Spanish newspaper Cinco Dias reported.