Has Engel found its strategic investor?

A note just appeared on the London Stock Exchange website announcing that a Cyprus-based company called GBES Limited will invest €9.2m in Engel Resources and Development (ERD), and will also provide a €10.2m line of credit to the company. That matters because (try to follow now…) because “ERD owns 100% of Engel General Developers Limited, which owns 68.4% of Engel East Europe.”

Lest anyone get too comfortable, the announcement points out that ERD hasn’t made any commitment yet to provide (desperately needed) financial support for Engel East Europe, the company’s that’s actually listed on AIM. A court in Tel Aviv still has to approve the deal, as do bondholders in both ERD and Engel East Europe.

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