Privately-held Spanish real estate company Nozar has named administrators after it was unable to reach an agreement with banks for the refinancing of a EUR 700 mln syndicated loan. The company noted that it has been trying to refinance its debt for months.
Privately-held Spanish real estate company Nozar has named administrators after it was unable to reach an agreement with banks for the refinancing of a EUR 700 mln syndicated loan. The company noted that it has been trying to refinance its debt for months.
Nozar has around EUR 400 mln of short-term debt due for payment in the coming weeks to a consortium of 30 financial institutions. The syndicate includes international lenders the Royal Bank of Scotland (EUR 100 mln), JP Morgan, Barclays, Eurohypo, Natixis, BBVA and Banco Popular, according to Spanish media reports. Part of the financing was also provided by real estate tycoons Luis Portillo and Enrique Banuelos, former heads of Colonial and Astroc respectively.
Nozar is owned by the Spanish Nozaleda family, which has stakes in a number of Spanish property groups such as Colonial, Aisa and Afirma. Nozar also has joint projects with developers Martinsa Fadesa and Reyal Urbis.
The company significantly reduced its debt in the past 18 months. It carried out asset disosals of nearly EUR 1.5 bn in 2008, cutting its debt from EUR 2.4 bn in 2007 to EUR 700 mln in the first half of 2009.
