Spanish debt-laden property company Metrovacesa has received a six-month extension on repayments of a EUR 230 mln syndicated credit facility granted in April this year. In a statement to the stock market regulator CNMV, the Madrid-based group said that the six financial institutions owning 65% of the company have decided to extend the reimbursement of two equity loans to 30 November this year.

Spanish debt-laden property company Metrovacesa has received a six-month extension on repayments of a EUR 230 mln syndicated credit facility granted in April this year. In a statement to the stock market regulator CNMV, the Madrid-based group said that the six financial institutions owning 65% of the company have decided to extend the reimbursement of two equity loans to 30 November this year.

The loans were granted after the exit of the group's major shareholder, the Sanahuja family, in February last year. The Sanahujas handed over a controlling stake in Metrovacesa in exchange for the cancellation of debt from lenders Santander, BBVA, Banesto, Popular, Sabadell, Caja Madrid and La Caixa.

Metrovacesa, with total debt of EUR 5.7 bn at end-June, is still in talks with the creditor banks for the refinancing of a major part of its debt load. According to reports in the Spanish media, the company is considering undertaking a capital increase of EUR 1-1.5 bn to facilitate the refinancing agreement.

Also this week, Spanish developer Urbas Guadahermosa said it posted a loss of EUR 20 mln in the first half of the year, compared to a loss of EUR 8.5 mln in the same period a year before. The company's revenues dropped by 72% to EUR 11.5 mln in the first six months of 2010.