Martinsa-Fadesa, the Spanish property company, has announced that the majority of its creditors have agreed to the Company’s proposal of debt repayment schedule.
Martinsa-Fadesa’s debt repayment plan has been backed so far by 54 percent of its creditors, including the Spanish banks: Caja Madrid, La Caixa, Popular, Bancaja, Caixa Catalunya and Caixa Galicia. This percentage could rise in the next few weeks as more debtors sign on to the deal. Spanish law requires the company to win the approval of 50 % of creditors.
Martinsa-Fadesa is to repay 2% of a syndicated loan of over 5 billion euros before May 2010 and 3 percent in 2011. Repayments will rise to 25 percent in 2015 and 2016.
The developer claims its CEE activities are not impacted directly by developments in Spain.