Cerberus Capital Management LP has acquired a majority of BBVA’s real estate business in Spain. No financial terms were disclosed. The real estate business is now known as Divarian. Cerberus will hold an 80 percent stake in Divarian while BBVA will hold the remaining 20 percent stake.
MADRID, Oct. 15, 2018 /PRNewswire/ — Cerberus Capital Management, L.P. and its affiliates (“Cerberus”) today announced the completion of the transaction with Grupo BBVA (“BBVA”) to transfer 80% of BBVA’s real estate business in Spain to Cerberus, including the assets, business, and approximately 400 professionals making up the Anida workforce.
The transaction, known as “Project Marina”, was announced in November 2017 and closed on 10 October 2018 after obtaining all required authorizations. The transfer of the assets has been carried out through the sale of an 80% stake in a newly established entity, Divarian Propiedad, S.A. (“Divarian”), to Cerberus. BBVA will hold the remaining 20% stake.
Divarian will manage real estate assets throughout Spain, once certain standard conditions for these types of transactions have been met. The assets comprise a wide range of properties, land, developments, and one-off items.
Divarian, to be managed by Cerberus, will also take on the specialist staff coming from what was formerly BBVA’s real estate division, Anida. The workforce comprises teams of experts and highly-qualified professionals with vast experience in key areas of all types of real estate asset management.
“We are excited to officially launch Divarian in partnership with BBVA,” said Lee Millstein, President of Cerberus Global Investments and Global Head of Real Estate for Cerberus. “This transaction further demonstrates our commitment to long-term investing across the Spanish economy.”
David Teitelbaum, Head of European Advisory Offices for Cerberus, added, “Spain is a market in which we are firmly engaged. We have committed over 10 billion euros in aggregate transaction value in the country over the past year and remain confident that Spain offers attractive growth opportunities.”
Cerberus is a leading alternative investor with a long and successful track record in the Spanish market and most notably, in the real estate sector. With over 30 transactions in Spain, Cerberus has helped to invigorate various areas of the Spanish business and financial sphere. In addition to its real estate portfolio acquisitions, Cerberus has made key investments in other sector-related companies, including Haya Real Estate, Spain’s largest independent servicer with over 40 billion euros in assets under management; Grupo Inmoglaciar, one of the sector’s benchmark developers; and Gescobro, a secured and unsecured debt collection company.
In connection to the closing of the transaction, Haya Real Estate has entered into an agreement to service certain real estate assets of BBVA. This transaction will allow Haya Real Estate to strengthen its position as the leading provider of services in the Spanish market to financial institutions and institutional investors.
Founded in 1992, Cerberus is a global leader in alternative investing with over $35 billion in assets across complementary credit, private equity, and real estate strategies. We invest across the capital structure where our integrated investment platforms and proprietary operating capabilities create an edge to improve performance and drive long-term value. Our tenured teams have experience working collaboratively across asset classes, sectors, and geographies to seek strong risk-adjusted returns for our investors. For more information about our people and platforms, visit us at www.cerberus.com.