Intrum has agreed with Banco Sabadell to acquire their wholly owned subsidiary Solvia Servicios Inmobiliaros (Solvia) for an enterprise value of approximately €300m.
The agreement reinforces Intrum’s position in the Spanish real estate market and strengthens the collaboration with Banco Sabadell, one of the largest banks in Spain. Through the agreement, Intrum will acquire 80 per cent of the shares in Solvia and Banco Sabadell will retain the remaining 20 per cent.
Solvia is one of the leading real estate service providers in Spain, with more than €21bn assets under management, ca 700 employees and with a wide range of customers such as private individuals, companies and investors. Solvia has a broad spectrum of assets under management including residential mortgages, corporate and SME loans, commercial real estate, secured and unsecured receivables and Real Estate Owned (REOs) portfolios.
- With this acquisition, combined with our existing Aktua real estate servicing unit, we consolidate our position in the Spanish real estate market and the secured non-performing loans servicing business. Intrum becomes a top three player in Spain and we create synergy opportunities and a platform from which we can reinforce our position in the Spanish market. The assets of Solvia are of the types which Intrum knows well, and we are confident that we can create value from them, said Mikael Ericson, President and CEO of Intrum.
The transaction is conditional upon customary approvals by authorities and is expected to close during Q1 2019. The transaction is supportive of Intrum’s long term 2020 targets; it is EPS (earnings per share) accretive, and delivers strong cash flows which will reduce Net Debt/EBITDA in 2020. It will be funded through existing facilities and available liquidity with an initial payment of approximately €190m in Q1 2019 and a deferred payment of approximately €50m to follow in 2022.
For further information, please contact:
Thomas Moss, Group Business Control and Investor Relations Director,
tel: +46 8 546 102 02
Louise Bergström, Head of Investor Relations, tel: +46 8 546 103 42
This information is information that Intrum AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out below, at 07.00 CET on 2018-12-14.