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Spanish property developer Neinor in talks to buy Via Celere

By Reuters

By Inti Landauro and Clara-Laeila Laudette

MADRID -Spanish residential real estate developer Neinor Homes on Monday confirmed reports it is in negotiations to buy rival Via Celere in a deal that could create Spain’s largest property developer.

Neinor is participating in a valuation process for a potential deal with Via Celere, Neinor said in a filing with the stock market regulator, adding that no agreement has yet been reached.

Via Celere reported gross asset value (GAV) of 1.62 billion euros ($1.87 billion) in July, which would provide a significant boost to Neinor’s market share and land bank. Neinor’s GAV stood at 2.19 billion euros for the same reporting period.

With more than 21,000 property units at different stages of development, Via Celere would more than double Neinor’s existing pipeline, according to both companies’ latest financial results.

Market regulator CNMV suspended trading in Neinor shares on Monday morning until 1430 local time (1330 GMT) after a report in the Expansion newspaper said that Neinor was in advanced talks with U.S.-based investment fund Varde, which controls Via Celere.

Neinor bought Quabit, another Spanish property promoter early this year to propel the business into Spain’s top three developers.

A spokesperson for Varde declined to comment on Monday while officials from Via Celere did not return emails and calls seeking comment.

A Neinor spokesman referred Reuters to the filing published on the market regulator’s website.

Neinor has bet big on the appetite for buying and renting new-build homes in Spain as post-pandemic priorities put a premium on space, light, green spaces and energy efficiency.

($1 = 0.8655 euros)

($1 = 0.8655 euros)