Fibrashop Announces The Sale Of Kukulcán Plaza, Subject To Certain Suspensive Conditions.
Mexico City, March 31, 2023— FibraShop (FSHOP) (BMV: FSHOP13), CI Banco S.A. Institución de Banca Múltiple Fideicomiso Irrevocable Número F/00854, a real estate investment trust specializing in shopping malls, notifies the investing public of the sale of the Kukulcán Plaza property, subject to certain suspensive conditions.
As duly reported, FibraShop continues advancing with its strategy to improve its balance sheet. One of the
pillars of this strategy is the divestment of non-strategic assets, which are assets that do not have the characteristics of the lifestyle strategy and business approach that we seek to implement moving forward, either due to their location or the markets we would like to develop. In 2022, FibraShop announced that it was conducting negotiations to finalize the sale of a portfolio of approximately one billion pesos, and that the funds obtained would be distributed roughly as follows:
1) 75% for debt payment
2) 15% to invest in properties that have been selected to replicate the Lifestyle Centers strategy
3) 10% to reactivate the CBFI repurchase fund, acquire CBFIs, and cancel them.
In line with that strategy, in August 2022, the sale of the Urban Center property in Xalapa was concluded. With the funds obtained from that transaction, a bilateral loan with Banco Sabadell for 150 million pesos was paid down early; in addition, the repurchase of approximately 40 million pesos in CBFIs was reactivated. That line of credit with Banco Sabadell was again made available, and those funds will be used to pay the expiring FSHOP19 bond.
The sale price for the Kukulcán Plaza is 850 million pesos, subject to authorization by the Federal Economic Competition Commission. The process with this entity has already been initiated. The funds from that sale will be used as per the percentages mentioned above.
As stated, the goal of these activities is to strengthen the balance sheet, improve leverage, rejuvenate the portfolio, and increase the benefits of the CBFIs, as part of the Company’s long-term vision and strategy to add value for bondholders.