Pricoa Property Private Equity (PPPE), the European merchant banking arm of Pricoa, has sold 50% of its share in Belgium property company Banimmo to the Artesia Banking Corporation for £29m.
PPPE bought Banimmo in March from Axa Bank, marking the company’s first investment in Continental Europe.
Jonathan Short, managing director of PPPE, said that the company always intended to syndicate 50% of the deal as it brings in other capital providers and in this case brings a local partner.
It has been standard practice for PPPE to syndicate parts of its deals. For example, the Abu Dabi Investment Authority owns a one third stake in UK business park developer Arlington, which it bought in 1998.
PPPE is currently restructuring Banimmo, which is Belgium’s seventh-largest property company. The company has a portfolio value of ¬280m (£168.6m) and owns 53 properties in Belgium and Luxembourg. One third of the portfolio will be sold, one third will be actively managed before being sold and the final third will be kept.
PPPE will work with Arteisa on deals for Banimmo. PPPE’s partnership could also extend to other deals; Artesia has a presence in France and the Netherlands.
EGi News 15/08/2000
