Hispania Activos Inmobiliarios has confirmed plans to raise up to €500m by listing on the Spanish stock exchange.
The new Spanish property company has already received commitments of €314m from a number of cornerstone investors and other investors including Quantum Strategic Partners, Paulson & Co, Moore Capital Management, APG, Cohen & Steers and the Canepa group.
The firm will bring in the balance from institutional investors through its share listings on the Madrid, Barcelona, Bilbao and Valencia stock exchanges, which are expected to commence before 31 March.
Hispania intends to deliver capital growth by investing in the Spanish real estate market, with plans to create a high-quality portfolio that generates both recurring income as well as capital gains from asset appreciation.
It will invest primarily in multi-family residential properties, offices and hotels with yield potential that require either some repositioning, capex investment or active asset management.
The firm proposes to invest over three years and then to liquidate the portfolio and to return value to shareholders over the following three years, with shareholder approval for some long-term holds.
Hispania will be managed externally by Azora Gestión, and its board will be chaired by Rafael Miranda Robredo, the former chief executive of Endesa.
Board members include Joaquin Ayuso, former chief executive of Ferrovial, Jose Pedro Pérez-Llorca, founder of Pérez-Llorca Abogados and Luis Mañas, board member of Aviva, as well as Concha Osácar and Fernando Gumuzio from Azora.
To ensure close alignment with the interests of all shareholders, the management team has agreed to invest capital in Hispania representing 2.28% of the expected initial offering proceeds.
Fernando Gumuzio, co-founder of Azora, which is the biggest manager of social housing in Spain, said: “The Spanish real estate sector currently presents an interesting opportunity for those investors with the expertise to navigate this complex environment in order to select the right assets.
“We have established Hispania Activos Inmobiliarios to take advantage of these opportunities by leveraging Azora’s strong track record and expertise in the market to build a high-quality portfolio that creates value for shareholders.”
Goldman Sachs International and UBS Limited are joint global coordinators and joint bookrunners in the offering. The company has appointed Freshfields Bruckhaus Deringer as its legal adviser.
bridget.oconnell@estatesgazette.com
