Fadesa

Fadesa, S. A. was one of the main real estate groups in Spain. Founded in La Coruña (Spain) by Manuel Jove at the end of the seventies, it initially specialized in the development of large protected housing projects. It was present in practically the entire Spanish territory through 20 branches and more than 50 points of sale. At the international level, it participated in large projects such as the largest tourist resort in Morocco with an area of 300,000 square meters.

In 2008, and after its merger with Martinsa, it announced bankruptcy and subsequent bankruptcy proceedings (the largest in Spanish history until 2008) for not being able to pay its debt, contracted, to a large extent, during the merger of both companies.

History

In 1993 it began its activity outside Galicia. First in Castilla y León and later in the rest of the communities in Spain. In 1999 Fadesa made the international leap and entered the Portuguese market and in 2000 opened its delegation in Morocco. Currently, he has diversified his investment with property investments (Hotels, golf courses, wine cellars).

In 2004, 1,200 residents grouped under the National Collective of Fadesa Syndrome Affected People, initiated criminal proceedings against the company, under accusations of risk crime, document falsification and fraud.

In 2006, the real estate company Martinsa, whose president is Fernando Martín, launched a friendly takeover bid for 100% of Fadesa: 4,045.2 million euros, abandoning its stay in the selective Ibex-35 as a result of said takeover bid.

On December 14, 2007, Fadesa carried out its merger with Martinsa to give rise to a new listed group with the name Martinsa-Fadesa. The new group planned to diversify its activity towards civil works and renewable energies and move its operational headquarters to Madrid, but maintaining its corporate headquarters in La Coruña (Spain).

On March 11, 2008, Husa purchased the Husa Vía Barcelona hotel from Martinsa-Fadesa.

On July 14, 2008, Martinsa-Fadesa decided to file for voluntary bankruptcy due to its serious cash situation, after being denied the necessary financing to carry out its project. This decision of the board of directors of Martinsa-Fadesa, which is equivalent to the suspension of payments, was presented the next day in the courts of La Coruña (headquarters of the real estate company), in addition it proposed to the Ministry of Labor an employment regulation file (ERE) which, in principle, will affect 234 employees (26.5% of the workforce). It is estimated that the group's debt is more than 7,000 million euros and that 12,500 families could have started purchasing homes from Martinsa-Fadesa; the definitive acquisition is not clear. This suspension of payments has become the most important in the economic history of Spain (2008).

Economic figures

Martinsa-Fadesa reduced home sales in 2007 by 36%, selling 6,691 homes compared to 10,446 in 2006.

In 2007, Martinsa-Fadesa's debt amounted to 5,153 million. Debt equivalent to 40% of the total value of the group's assets, estimated at around 13 billion euros. Part of the debt corresponds to the financing that Martinsa requested to undertake the purchase of Fadesa through a Public Acquisition Offer of shares (OPA).