Hispania reduces its profit by 83% in full OPA by increasing provisions linked to Azora

The socimi says that “there is a high uncertainty” about Blackstone’s offer

Hispania recorded an attributed net profit of 2.7 million euros in the first quarter, 83.8% less than a year earlier, as a consequence of accounting for higher financial expenses and increasing the provisions related to the asset management contract it has with Azora , according to the company.

The socimi hotel has raised by fifteen million, to 110 million, the provisions it maintains to compensate Azora for a possible conclusion of the asset management contract that it has with this firm as a result of a supposed corporate operation.

The increase in the provision derives from the takeover bid that Blackstone has launched on the company, given that it shows a higher value of the socimi compared to what it has to calculate such compensation for Azora.

The circumstance arises that this asset management firm has left in suspense its planned flotation precisely in the face of the uncertainties that the OPA on the socimi throw on its business plan.

As for the quarterly results of Hispania, they also record a non-recurring financial result of 5.35 million euros.

In case of discounting these two impacts, the accounts of the company chaired by Rafael Miranda yields a profit of 23.05 million, 37.6% higher than a year earlier.

In its results report, Hispania refers to the takeover bid that Blackstone has launched on 83.4% of the company that it does not yet control to indicate that there is “a very high uncertainty” regarding the operation.

It is an operation valued at 1,905 million euros with which the US fund would become the first owner of hotels in the country, which is currently pending authorization by the National Securities Market Commission (CNMV).

INCOME GROWS FOR HOTEL RENTALS

At the operational level, Hispania increased revenues by 9.2% between the months of January and March, to 41.4 million euros, mostly (83.9%) from the loan portfolio. 46 hotels with which the socimi is the first owner of hotel facilities in the country.

The portfolio of office buildings that it currently has, in which the “sell” poster is hung, generated 5.7 million euros in the period, the same as a year before.

As for its rental housing, which it currently sells among individuals, Hispania closed the transaction of 21 units in the quarter, which has already sold a hundred.

At the close of March, the most veteran bank in the country had a net financial debt of 894.8 million, after refinancing a corporate syndicated loan for a total of 745 million during the period. This liability is equivalent to 33.3% of the value of its portfolio of assets, which the company figures at 2,691 million euros.