|More than half of the apartments will be sold during the first stage of the sale process||28.6.2019|
Koper, 28 June 2019 – The Bank Assets Management Company has concluded the call for binding bids to purchase apartments in the Koprska vrata commercial and residential complex. Between 22 April and 26 May, the Bank Assets Management Company organized an open house viewing period in an effort to sell 162 apartments, with corresponding parking spaces and storage areas. Over 200 valid bids have been placed up until 31 May, with paid security deposits. More than half of the available apartments will be getting new owners.
The apartments were offered for sale to bidders placing binding bids. Due to increased buyer interest, the achieved prices were much higher than the initial prices. The first residents will be able to move into their new apartments immediately after the purchase money has been paid in full and the properties delivered into their possession.
Žiga Pfeifer, Head of the BAMC real estate portfolio, expressed satisfaction with the sales thus far: "After the successfully holding an open house viewing period in May, we will be able to sell more than half of the properties in the first stage of the sale process already. Considering the real estate market conditions in the coastal region, the apartments selling in such a short period of time is a great achievement, especially considering the fact that the final bids greatly exceeded initial asking prices. As was the case in the past, during the first stage, buyers expressed most demand in larger units in premium locations, and there was less demand for studio units. For example, in some cases the most attractive apartments fetched over 70 bids. We expect buyers will express interest in the remaining units in subsequent stages of the sale process."
Unsuccessful bidders will have their security deposits refunded by BAMC. Unsold units will be offered to them and other interested parties shortly. The sale process for the remaining apartments in the Koprska vrata complex is expected to continue in September. A public announcement will be posted with sufficient notice, and interested parties will be able to follow the next stages of the sale online at www.koprskavrata.eu.
Many viewings of commercial units in Koprska vrata were also conducted during the open house period. These viewings will continue to be available by appointment which potential buyers can book online at www.koprskavrata.eu, via e-mail at email@example.com, or by calling 01 420 59 14. BAMC will continue accepting non-binding bids on commercial premises until individual units are sold. Due to increased demand for individual premises, BAMC will soon begin a bidding process where bidders will be able to place binding bids.
The new commercial and residential complex has good road connections and public transport options. Nearby amenities include a kindergarten, school, banks and shops. Residential units located on the upper floors offer large terraces with exceptional views of the city skyline. The operating permit for Koprska vrata was issued in 2013. An energy performance certificate was also issued. Energy performance class: B1 (15-25 kWh/m²a)
Koprska vrata is located in the immediate vicinity of the Koper city shoreline and is near the motorway exit. The complex's modern architectural design makes the residential units suitable for either part-time or full-time occupancy. 164 attractive, modern apartments provide comfort and pleasant living for all generations. The apartments' diverse layouts are located across six floors, ranging in size from 38 to 154 square meters. Over 2,000 m2 of commercial premises for various uses, which can be divided into up to 29 individual units, are available on the ground level of the complex.
|Open house period in the Koprska vrata residential project comes to a successful close||27.5.2019|
Ljubljana, 28 May 2019 – Between 22 April and 26 May, the Bank Assets Management Company organized an open house viewing period in an effort to sell 164 apartments with the corresponding parking spaces and storage areas, as well as over 2,000 square meters of business premises in the commercial and residential complex of Koprska vrata. The sale of residential units is conducted in a competitive bidding process with binding bids, while commercial premises are being sold in a non-binding bids process. As of 26 May 2019, bidders have paid in over 100 earnest deposits to purchase apartments. Interested parties may submit their bids until 31 May 2019. Viewings for the commercial part of the Koprska vrata project are continuing and are available by appointment.
Residential units were available for viewing between 26 April and 26 May 2019, during which period potential buyers were able to book a guided viewing. The sale process is conducted in a competitive bidding process with binding bids, where the earnest deposit for the apartment amounts to 5,000 euros for up to three chosen apartments. As of 26 May 2019, just over 100 security deposits have been made by the bidders, whereas interested bidders still have until the end of the month to submit their bids. BAMC will disregard any bids made after the deadline, in accordance with the general terms and conditions of the competitive process.
Žiga Pfeifer, Head of the BAMC real estate portfolio, expressed satisfaction with the sales thus far: "The open house period has once again proved to be an excellent tool for presenting our real estate assets to the broader public. We've seen a great deal of interest from the public in Koper. Since the opening of the open house period we have recorded over 1,000 viewings by potential buyers, who usually came with an average of three friends and family members. In less than a month, our residential and commercial units were viewed by almost 3,000 individuals, some of whom visited on multiple occasions. Koprska vrata provide an opportunity for buyers and investors looking to buy premium-location residential and commercial properties at competitive prices. After the viewings, we are expecting a high number of bids, mostly in the last week leading up to the deadline."
Potential buyers of residential properties are mostly Slovenians, less than 4 percent were international viewers, mostly from Italy and Russia, and some also from the UK and USA. Most interest has been shown in the apartments located on the upper floors. "Since this is the first time in this situation for many potential buyers, we have been in close contact with our customers over the phone and e-mail, providing assistance with the bid submission process," said RE/MAX, the real estate agency which was awarded the contract in a public procurement procedure for the sale of the Koprska vrata real estate.
BAMC will be opening the received bids on residential real estate in the presence of a notary public over the next two weeks. Bidders having offered the highest price and submitted a complete bid after having made a security deposit, will be invited to sign the contract. The first residents will be able to move into their new apartments immediately after the purchase money has been paid in full and the properties delivered into their possession.
Many viewings of commercial units in Koprska vrata were also conducted during the open house period. These viewings will continue to be available by appointment which potential buyers can book online at www.koprskavrata.eu, via e-mail at firstname.lastname@example.org, or by calling 080 73 15. BAMC will continue accepting non-binding bids on commercial premises after the end of May, until individual units are sold. Due to a great deal of interest in individual commercial properties, BAMC recommends that potential buyers submit their bids as soon as possible in order to secure their spot at the location.
The new commercial and residential complex has good road connections and public transport options. Nearby amenities include a kindergarten, school, banks and shops. Residential units located on the upper floors offer large terraces with exceptional views of the city skyline. The operating permit for Koprska vrata was issued in 2013. An energy performance certificate was also issued. The facility's energy performance class is B1 (15-25 kWh/m²a).
Koprska vrata is located in the immediate vicinity of the Koper city shoreline and is near the motorway exit. The complex's modern architectural design makes the residential units suitable for either part-time or full-time occupancy. 164 attractive, modern apartments provide comfort and pleasant living for all generations. The apartments' diverse layouts are located across six floors, ranging in size from 38 to 154 square meters. Please visit www.koprskavrata.si for more information.
|BAMC's to have a full complement of executive directors from Monday||24.5.2019|
Ljubljana, 24 May 2019 – BAMC to have a full complement of executive directors. Starting Monday, 27 May 2019, CEO Matej Pirc will be joined by executive directors Andraž Grum and Bojan Gantar, appointed by the non-executives on 8 May 2019. BAMC's non-executives also divided among them the areas of responsibility previously vested in CEO Matej Pirc.
Henceforth, Matej Pirc's responsibility as CEO will include real estate operations, compliance, corporate security, internal audit, corporate communications and marketing, human resources and main office. Executive director Bojan Gantar will be responsible for credit and equity operations. Executive director Andraž Grum will be responsible for business analytics, legal matters, procurement, finance, accounting, controlling and IT.
Said Matej Pirc: "I am glad that the BAMC will be getting a full complement of executive directors, as teamwork is a key requirement for making quality decisions. BAMC must pursue its goals ambitiously due to its limited lifespan. I am convinced that with a complete executive team and motivated staff we will be able to fulfill our mission of maximizing the recovery value of our assets and reclaim achieve maximum repayment of taxpayer funds invested in the rehabilitation of the banking system."
Matej Pirc was appointed as BAMC's CEO on 29 April. Prior to this, he served a three-month term as acting CEO, and a one-and-a-half year term as BAMC's CFO. He holds a Bachelor's degree in Economics, with more than 15 years of senior management experience in privately-owned and state-owned companies. He has senior expertise in fields such as corporate governance, corporate restructuring, finance and other back-office functions. He graduated from the Ljubljana Faculty of Economics. He has spent a number of years working in executive positions in Mercator Group, both in the parent company and its Slovenian and international subsidiaries. He served as a member of the management board of Slovenska odškodninska družba and later Slovenian Sovereign Holding. In April 2014, he was appointed CEO of Slovenian Sovereign Holding, responsible for equity and other asset management operations, corporate restructuring, finance and other back-office functions. Prior to his employment at BAMC, he served as a director in the international advisory firm A. T. Kearney, responsible for projects involving corporate governance, infrastructure projects and M & A projects.
Bojan Gantar will be taking over as BAMC's executive director as of 27 May 2019. He has held a number of executive positions over the course of his 20-year career. He holds a Bachelor's degree in engineering, as well as an MBA title. He began his career as a technology project manager in Hidria Rotomatika. Over the course of his career serving in a number of companies, he has attained a wealth of expertise and experience, particularly in strategic planning and corporate governance, financial and operational restructuring and business process optimization. Over the course of his 16-year career with Hidria, he served as the head of technical engineering, director of the business unit and the CEO, followed by a 2-year term as a member of the management board of Trimo. Prior to his appointment as BAMC's executive director, he served as the CEO of Alpina, where he managed and oversaw all key processes in Alpina Group and steered its financial and operational restructuring efforts.
Dr. Andraž Grum, executive director of BAMC, will be commencing his term on 27 May 2019. He has a 20-year executive background in various companies, mostly financial enterprises. He holds a PhD in Economic Science. Over the course of his career he has attained a wealth of experience and knowledge in financial analytics, asset valuation, corporate finance, distressed asset management, risk management, investment management and corporate governance. He began his career in Abanka's capital markets analysis and portfolio management function. At Triglav Funds, he was responsible for managing mutual fund assets. He continued his career in companies such as Vipa Holding, Deželna banka Slovenije and DBS Nepremičnine. He has also served as supervisory board member of a number of companies and financial institutions. He holds a stockbrokerage and asset manager license, as well as an insurance brokerage license.
|BAMC soon to have a full complement of executive directors||8.5.2019|
Ljubljana, 8 May 2019 – In accordance with the ZUKSB, BAMC's non-executive directors have appointed two new executive directors. Dr. Andraž Grum and Bojan Gantar will be joining BAMC CEO Matej Pirc at the helm of the organization.
Andraž Grum and Bojan Gantar were selected among the candidates who had applied for the CEO position, based on the proposals presented to the non-executives by BAMC's nomination committee. Andraž Grum holds a doctor's degree in economics, with an extensive background in banking (Abanka, DBS), particularly in the field of financial analytics, valuation, NPA management, investment management, corporate governance and risk management. Bojan Gantar holds an engineering degree, with a diverse set of knowledge and experience in the real sector (Trimo, Alpina, Hidria), particularly in the management of advanced operational and financial restructurings, corporate management, and business process optimization processes.
"The board of directors is pleased with the final roster of BAMC's executive directors. Our aim was to constitute a professional, experienced, competent, and most of all constitute a homogenous and mutually-complementary management team, which will work closely with the non-executive directors and employees alike, fully able to tackle upcoming professional challenges. We are confident that this will provide a solid basis for BAMC's continued performance," said Tomaž Besek, chairman of the Board.
Andraž Grum and Bojan Gantar are expected to take office as executive directors by the end of the month. At that time, the board of directors will also assign each of the executive directors' specific areas of responsibility. The executive directors' first task will be to finish the process of stabilizing the organization through improving the governance process, carrying out a soft reorganization, optimizing internal procedures and ensuring a good working environment for the employees, all with a view to maximizing the assets' recovery value through sales, whilst maintaining the transparency of the organization's activities.
|Matej Pirc appointed as BAMC’s new CEO||25.4.2019|
Ljubljana, 25 April 2019 – In accordance with the ZUKSB and the BAMC Articles of Association, BAMC's non-executive directors appointed the new CEO of BAMC. The position was entrusted to Matej Pirc, who previously served as BAMC's acting CEO.
Matej Pirc, who joined BAMC in August 2017, will be taking over the function as CEO on 29 April 2019, and will be responsible for asset management operations and corporate affairs pending the appointment of two additional executive directors. The two remaining executive director positions are expected to be filled in the first half of next month.
When appointing Matej Pirc, BAMC's non-executive directors expressed satisfaction with his work thus far, as well as the high level of trust which has been built in the few months of his active involvement on the board of directors. Furthermore, they expressed their satisfaction with the quality of management of BAMC and its future performance.
Today's appointment marks a continuation of concrete actions taken by the new board of directors, with a view to further stabilizing the organization, ensuring quality collaboration between executive and non-executive directors and maximizing the proceeds from the sale of assets, while ensuring transparent operations of the organization.
|The Koprska vrata residential complex opens its door to potential investors||24.4.2019|
Koper, 24 April 2019 – The Bank Assets Management Company will be holding an open house viewing period in the process of selling 164 apartments with parking spaces and storage units located in underground garages, in addition to more than 2,000 square meters of commercial premises, all located in the residential/commercial complex of Koprska vrata. The apartments will be available for purchase through a process of collecting binding bids, while the sale of commercial premises will be done through collecting non-binding bids.
The Koprska vrata complex is located near the shore, the city center and the motorway exit. Also nearby to the complex are childcare facilities, a school, banks and shops. The complex has a modern architectural design and offers apartments for full-time and holiday occupancy. 164 attractive, modernly-designed – each with its own pair of parking spaces and a storage unit - provides comfortable living conditions for all ages. The varied floor plans of apartment units spread across six floors range from 38 to 154 square meters in size. All units are heated and cooled via a central conditioning system, which determines the basic mode of operation (cooling or heating). The apartment units found on the upper floors offer more spacious terraces with beautiful city views. The apartments have been refreshed and are ready for immediate use. For commercial premises, buyers will have to carry out the finishing works before use, as well as obtain a utility permit. The facility has a B1 energy certificate (16 kWh/m2a)
The apartment units and commercial premises will be available for viewing between 26 April and 26 May 2019. During this time, potential buyers will be able to book a guided tour. The apartments will be available for purchase through a process of collecting binding bids, subject to a 5,000 euro deposit per apartment. Interested buyers will be able to make one non-binding bid on commercial premises. The sale process will be conducted by RE/MAX.
In the words of Žiga Pfeifer, head of BAMC's residential real estate portfolio management: "Koprska vrata are a great opportunity for buyers and investors looking to buy residential and commercial real estate in a prime location, at competitive prices. As there is quite a large demand for quality real estate development in the coastal region, we expect significant interest from potential buyers."
More information about the residential units and commercial premises, the materials and equipment used, the sale approach, signing the purchase contract, the handover process and the guarantee can be found at www.koprskavrata.eu. Book a viewing by phone 01/420 59 14, 080 73 15, e-mail email@example.com or directly via the website www.koprskavrata.eu.
|Andrej Prebil amicably parts ways with BAMC ||28.3.2019|
Ljubljana, 28 March 2019 – BAMC's Board of Directors took note of Andrej Prebil's resignation as executive director of BAMC. Andrej Prebil will continue his professional career in the private sector. Matej Pirc, BAMC's acting CEO, will be taking over his responsibilities until a suitable replacement has been found.
Andrej Prebil, who accepted a new career challenge, is leaving BAMC and starting his new job in another corporation on 1 April, tendered his resignation on 26 March 2019. Taking over his responsibilities will be Matej Pirc, who will be temporarily taking over his responsibilities as executive director for asset management operations. The handover process is expected to be completed by the end of this week.
The recruitment process for the new executive directors is in the final stages, and the new permanent executive directors are expected to be appointed by the end of next month.
|Matej Pirc to serve as acting CEO of BAMC||25.1.2019|
Ljubljana, 25 January 2019 – Having convened at today's session in accordance with the provisions of the ZUKSB and the Articles of Association of BAMC, the non-executive directors appointed Matej Pirc, BAMC's current CFO, to the position of BAMC's acting CEO. The international competition to fill the CEO position will be announced shortly.
Matej Pirc, who joined BAMC in August 2017, assumes his duties as acting CEO today, until a permanent CEO candidate has been chosen with a final decision. An international competition will be held to fill the CEO position, as required by the ZUKSB. Meanwhile, executive directors Andrej Prebil and Jože Jaklin continue to perform their respective key duties, as per normal.
The appointment of the acting executive director marks one of the first concrete moves of the new board of directors, after December's appointment of two new non-executive directors Tomaž Besek and Marko Tišma and CEO Imre Balogh's resignation. The board of directors seeks to instill order and stabilize the situation and ensure BAMC, which has recently fallen under fire in the context of various external assessments, can continue performing its core business, which is to maximize the return on the taxpayers' investment into the rehabilitation of Slovenia's banking sector.
|Changes at the helm of BAMC ||19.12.2018|
Ljubljana, 19 December 2018 – During today's session, BAMC's new Board of Directors appointed Tomaž Besek as its new chairman. At the same time, the Board took note of Dr. Imre Balogh's resignation as CEO. Dr. Balogh's duties will be temporarily taken over by the other two executive directors.
Imre Balogh decided to resign mainly for personal reasons, as he was torn between his working and private life. Now, after closing three complete business years of managing BAMC and commuting between his home and Slovenia for five years, the time has come for him to shift the balance towards family relations. His function at BAMC will in January 2019.
After termination date his organizational duties will be temporarily taken over by other two executive directors. The handover process will take place over the next few days.
|The case of Litostroj Jeklo successfully brought to an end, to the benefit of all stakeholders||26.11.2018|
Ljubljana, 26 November 2018 – After years of BAMC's efforts to save the company, the real estate sale process has been brought to a successful conclusion with the signing of the contract between Litostroj Jeklo and LTH Castings. The new buyer, LTH Castings, will buy all of Litostroj Jeklo's real estate assets. The purchase money amounting to 11.5 million EUR will be used to repay most of the creditors' claims, as well as the employee social contributions. In addition, approximately 200 jobs have been preserved, as has the industrial culture of the company itself. The resolution brings benefits to all stakeholders involved – the employees, business partners, FURS and BAMC – and to a much higher degree than the bankruptcy process, which would have been the alternative.
Ever since the transfer of the claims from Abanka at the end of 2014, BAMC has been actively managing its claims against Litostroj Jeklo. During this time, it took all available measures to restructure the company and ensure its future survival. The initial aim of this was to stabilize operations and later sell the company to a suitable investor. Due to the divergence of interests between the stakeholders involved, the sale fell through and therefore the only option to preserve production was to lease the assets out, as the value of these assets is much higher if they remain in use, compared to them being liquidated. After the repeated compulsory settlement and the difficult process of divestment of assets, the company managed to sell most of its assets, which will allow for repayment of most of the creditors' claims, as well as pay the unpaid employee contributions.
The purchase price for the real estate assets pledged to BAMC as collateral is 11.5 million EUR, 4.5 million EUR of which will be earmarked for payment of employee contributions, which will settle their claims almost fully. The remaining amount of 7 million EUR is intended for repayment of BAMC's claims, which is much more than under the bankruptcy scenario, where the liquidation values would be much lower, while there would be a great deal of additional costs.
Chronology of saving Litostroj Jeklo:
- First attempt to sell: The claims against Litostroj Jeklo were transferred from Abanka to BAMC in October 2014, when the compulsory settlement was nearly finished. Immediately after the end of the compulsory settlement, it turned out that the company is once again insolvent and unable to continue its business activities. Due to the lack of orders and negative cash flows, BAMC then assessed that the only possibility to prevent the company's bankruptcy is to sell it. In February 2015, BAMC began the process of selling its claims and equity of Litostroj Jeklo. In April 2015, the creditors received a bid from a potential investor, which was not accepted due to one investor's unwillingness to agree to the terms. After additional negotiations, the investor sent the financial creditors two improved individual binding bids in August 2015, referring to the purchase of claims and shares of equity. The investor undertook a second due diligence review of Litostroj Jeklo and announced in November 2015 that they were withdrawing from the deal.
- Alternative scenario Since the company obtained additional orders which would allow it to stay in business after relieving it of past debt, BAMC worked with the company to prepare an alternative scenario: investing fresh liquidity with a state guarantee, so that the company pays off all its debts and use fresh operating capital to finance day-to-day operations. The aim was to stabilize operations and later sell the company. Under this scenario, BAMC would take over most of the risk exposure, and the state would be exposed to risk only in the event of bankruptcy. Unfortunately, the required consent could not be obtained for this scenario, meaning that BAMC exhausted all options to restructure Litostroj Jeklo.
- New interest in the purchase A German investor had expressed interest in 2017, however they later withdrew from the deal due to the creditors' high expectations (FURS' demanded full repayment of liabilities, including default interest) and uncertainty.
- Leasing assets: Ever since the start of the first compulsory settlement in 2014, the company was unable to pay employee contributions for its workers, so these liabilities were increasing substantially. Towards the end of 2017, the company decided that a repeated compulsory settlement is the only way to ensure payment of employee contributions and maximizing the recovery value for the creditors. The aim of this repeat compulsory settlement was to lease and divest the company's assets. The company successfully leased its real estate and machinery, and the leaseholder is continuing production at the aforementioned location. This has allowed a certain number of employment to keep their jobs.
|BAMC marks 20.4 million EUR profit in H1 2018||28.9.2018|
Ljubljana, 28 September 2018 - In the first half-year period of 2018, BAMC stayed on course from 2017 and even surpassed last year's half-year result. At the end of H1 2018, BAMC marked a 20.4 million EUR profit.
Decreased operating costs and almost halved costs of financing, coupled with stable, real operating revenues across the three asset portfolios have all contributed to an excellent half-year profit, which even surpassed last year's half-year result - despite a decline in the generated cash flows, which came mostly as a result of the absence of larger transactions. The volume of managed assets decreased by 7% in H1 2018, or even more if we exclude the substantial takeovers of real estate assets.
Realized inflows in H1 2018 amounted to 117.0 million EUR, or 5.8% of the transfer value of assets. BAMC was thus well on track to achieving the statutory goal of divesting 10% of its assets per year, and came in somewhat above the planned target. From the time of its founding until mid-year 2018, BAMC has generated a total of 1,411.1 million EUR of inflows, which translates to almost 70% of the total transfer value of assets transferred to BAMC in the context of measures to strengthen bank stability and the merger of Factor banka and Probanka.
|DUTB improves business efficiency||5.7.2018|
Ljubljana, 5 July 2018 – Today, DUTB received the final audit report from the Court of Audit of the Republic of Slovenia. The report focuses on DUTB's operations in 2014 and 2015. The report instructs DUTB to implement 6 corrective measures, with subsidiary measures included, of which 2 have already been partially implemented in the meantime. 11 of 22 of the Court of Audit's earlier recommendations have already been implemented. DUTB has also adopted a number of internal regulations, including some based on its interactions with the Court of Audit in the audit process, and has been considerably improving its operations since the period covered by the Court of Audit's report.
In late December 2017, DUTB received the Court of Audit's draft report on the regularity, efficiency and effectiveness of DUTB's operations in 2014 and 2015. Having provided its expert clarifications with explanations for certain activities, DUTB received a proposal of the final report at the end of January this year. The proposal already comprised fewer corrective measures and recommendations and DUTB continued to implement the proposed measures. The Court of Audit's final report thus incorporates the improvements already made since, and now only contains 6 corrective measures with subsidiary measures instead of the original 10. Of these, DUTB has already partially implemented two corrective measures and 11 out of 22 recommendations.
Pursuing the program of comprehensive and transparent regulation of all internal aspects of its operations, since 2015, DUTB has adopted 38 new internal acts and revised existing internal regulations in additional 118 instances. These regulations affect both asset management operations and general corporate processes, addressed and remedied a significant portion of the shortcomings Court of Audit highlighted in their audit of the 2014-15 period.*
Dr. Miha Juhart, Chairman of the Board of DUTB, said: "The Board of Directors and the Audit Committee have been carefully monitoring the implementation of the proposed draft corrective measures and recommendations, and have adopted 14 amendments to internal regulations so far this year. These changes are reflected in the reduced number of outstanding corrective measures in the final report." In line with the law and economic considerations, DUTB will implement the remaining corrective measures expressed by the Court of Audit.
Dr. Imre Balogh, CEO of DUTB, commented: "In terms of stability of its operations, DUTB is a much different organization today than it was at the period which the Court of Audit report refers to. I can say that the cooperation between DUTB and the Court of Audit was much better than previously." He added that DUTB has grown into a constantly self-improving organization, also due to the measures and recommendations given by the Court of Audit, as it takes into account both internal and external observations about its operations. "Ever since the beginning of this audit exercise, DUTB has viewed cooperation with the Court of Audit as valuable assistance and additional encouragement to introduce improvements in the areas of security, efficiency and regularity of operations. It was a challenging process, but it ultimately benefitted both organizations so that they can both fulfill their respective missions. Our drive to achieve better operational efficiency is also reflected undoubtedly in the excellent results DUTB achieved in 2017," he added.
The Court of Audit report, the purpose of which is to improve the operations of its auditees, provides DUTB with an excellent tool for improving and reaching optimal efficiency. As a company which immediately reacts to change, DUTB therefore consistently enacts proposed changes in the shortest time possible.
Key improvements DUTB has already adopted based on the Court of Audit's recommendations in 2018
DUTB has even more closely regulated sales processes and introduced a standard decision-making template with relevant information required for the decision-making process. It also introduced IT support across all decision-making processes, which provides an audit trail and full operational transparency. It clearly defined internal procurement processes in order to comply with all public procurement requirements and introduced a computerized contracts registry. DUTB established a new Corporate Security unit, which works together with the Compliance Officer to carry out internal investigations and report its findings to the board of directors. DUTB has introduced a complete set of regulations for job systematization, remuneration and performance assessments of its employees.
|A good year for BAMC’s real estate management operations||12.12.2017|
Ljubljana, 12 December 2017 –2017 was a year of remarkable achievements in BAMC's real estate asset management operations. BAMC is closing the year with 95 business real estate projects sold for a total of 28 million EUR, and 64 residential projects sold for a total of 75.7 million EUR.
Sales and management of BAMC's real estate
As of today, the BAMC real estate portfolio, a result of proactive real estate management operations, consists of 240 proprietary real estate units worth a total of 206 million EUR, spread across 4 countries. The majority of these (42%) consists of land plots. BAMC's real estate portfolio also includes 1,066 properties pledged as collateral, worth a total of 721 million EUR, spread across 7 countries (as of 11 December 2017). The majority of these (35%) consists of industrial properties.
"With the growing portfolio of proprietary real estate, real estate sales have been on a positive trend over the past three years (2015-2017). In 2015, total sales amounted to 2.33 million EUR, in 2016 the number increased to 1118.56 million EUR, and in 2017 (as of 11 December 2017) total sales have reached as high as 103.9 million EUR (excluding relevant taxes)," said Janez Škrubej, Executive Director responsible for real estate asset management operations.
At the end of 2017, 63 residential real estate projects from BAMC's portfolio have been sold for a total of 75.7 million EUR. BAMC still owns 98 real estate projects worth a total of 99.1 million EUR. Standing out among the successful projects from the residential real estate portfolio are Celovški dvori (Ljubljana) and the commercial/residential complex Harmony in Sofia (Bolgaria):
- The Celovški dvori project includes 226 apartments, 23 business premises and 529 parking spaces owned by BAMC. Based on the transfer value of the real estate taken over from the insolvency proceedings, BAMC was able to generate at least 12 million EUR of added value and contributed to raising the residential complex's reputation. As of the present time, revenue generated from the sale of this project is approximately 39 million EUR.
- The Harmony Sofia Project includes 87 apartment units, 7 commercial premises and 84 parking spaces in the garage. Based on the transfer value of the real estate taken over from the insolvency proceedings, BAMC was able to generate at least 1 million EUR of added value.
Standing out among some of BAMC's larger current residential projects are Nokturno (215 apartments, 2 business premises, 438 underground parking spaces; 152 apartments already sold so far) and ES Gorica, Koper (164 apartments, 29 commercial premises, 417 underground parking spaces; sale expected to begin in May 2018).
At the end of 2017, 95 business premises from BAMC's portfolio have been sold for a total of 28 million EUR. BAMC still owns 142 real estate projects/cases worth a total of 106.9 million EUR. In the segment of industrial property sales, a particular achievement is the successful sale of the Maribor Automotive Factory, Koper Inde project, Kiv Vransko industrial complex, large-scale land plots zoned for business zones, and large business buildings in Ljubljana, Maribor and Ajdovščina.
Active real estate management
These results come as a result of BAMC's active real estate management focus and use of different methods to increase property values, depending on the segment and market potential of each property. Key measures for generating added value include resolving legal and technical deficiencies, investment-focused real estate development and city planning processes, transparent sale processes with targeted marketing, and proactive takeover of prospective properties from insolvency proceedings. BAMC hopes to create the most added value through joint venture projects, where it will strive to create additional returns for the taxpayers while taking on manageable risk.
"A particular challenge and an example of successful generation of added value can be seen in the properties which we successfully revived or changed their original purpose. Besides returning funds to the national budget, this also allowed us to extend the functionality and societal role of these properties in the local environment. One example worth mentioning is the industrial facility Inde in Koper or the KLI Logatec industrial complex,« adds Andrej Lazar, Director of Real-Estate Management at BAMC.
Besides BAMC's executive management, the 206 million EUR's worth of proprietary and 721 million EUR's worth of pledged real estate portfolio is managed by 16 real estate case managers, assisted by 11 back-office personnel. The real estate team includes 15 licensed real estate agents and 6 licensed real estate appraisers.
|DUTB refinances its financial liabilities||8.12.2017|
Costs of financing to be 7 million EUR lower in 2018
Ljubljana, 8 December 2017 - DUTB signed long-term loan agreements to refinance its financial liabilities, substantially lowering DUTB's financing costs, which will be 7 million EUR lower in 2018. The funds will be used to fully repay DUTB's obligations stemming from the DUT03 bond in the amount of 422.9 million EUR, DUT04 bond in the amount of 125.8 million EUR, and the bank loan in the amount of 169 million EUR.
In order to refinance its liabilities falling due in mid-December this year, DUTB took out a 710 million EUR loan in a transparent and competitive process.
DUTB executed three loan agreements, with:
- bank syndicate which includes Nova Ljubljanska banka d.d., Abanka d.d., Intesa Sanpaolo d.d., NKBM d.d. and Unicredit banka Slovenije, in the amount of 560 million EUR,
- Sberbank banka d.d. in the amount of 100 million EUR, and
- Erste Group Bank AG Vienna, in the amount of 50 million EUR.
The loans under the new loan agreements will be repaid quarterly, according to the loan repayment schedules. The last repayments fall due in mid-December 2022. DUTB also has the option of early repayment, which gives it flexibility in managing its liquidity until the end of 2022. The loans are secured with a state guarantee, subject to a 1% guarantee fee payable to the Republic of Slovenia.
In 2017 DUTB will therefore repay 1,107 million EUR of its financial liabilities, 710 million EUR of which will be settled with the aforementioned refinancing, and 397 million EUR will be repaid, of this as much as 269 million EUR will be repaid ahead of schedule.
The refinancing and repayment of financial liabilities marks an important step in the fulfilment of the BAMC's mission, as defined by the ZUKSB. With the lower interest rates, BAMC has reduced its future costs of financing, reduced its debt leverage and repaid invested funds, reducing the burden on the Republic of Slovenia and the taxpayers.
Not accounting for the refinancings, DUTB has so far repaid 1,057 million EUR in liabilities stemming from bonds and long-term loans (including the 360 million EUR for the merged Factor banka and Probanka). As a result, DUTB has more than halved its total debt of almost two billion euros. As of the end of 2017, DUTB's outstanding financial liabilities will amount to 877 million EUR.
|BAMC obtains highest-level international anti-corruption certificate ||16.11.2017|
Ljubljana, 19th November 2017 - In 2015, DUTB was awarded the Anti-corruption Compliance Program Certificate by the internationally renowned agency ETHIC Intelligence. In November of this year, after a months' long review performed by the same agency, DUTB was awarded the highest-tier Anti-corruption Compliance System Certificate. DUTB is the only Slovenian company to have been received the certificate, which is awarded exclusively to companies with the utmost level of business integrity, transparency and conflicts of interests prevention across all levels of the company's operations.
ETHIC Intelligence awarded the aforementioned certificate after conducted a detailed review of DUTB operations and performed a detailed analysis of the implementation of its overall program of zero tolerance to corruption. The program was designed so as to comply with the rules regulating the operations of DUTB, tailored for suitable corruption risk management and in following with best international practices. This is a system certificate which provides additional assurance that DUTB's anti-corruption program addresses all potential risks and that it is being properly observed within the organization.
For BAMC, the Anti-corruption Compliance System Certificate represents confirmation of its consistent implementation of its strategy, which meets the highest standards of ethical conduct and integrity, as well as recognition that the company is performing its tasks well and in line with professional standards and best practices in the field.
Upon accepting the certificate, Dr. Imre Balogh said: "In DUTB we are very pleased that the international agency ETHIC Intelligence once again recognized our dedication to upgrading our systems, processes and policies with a zero tolerance approach to corruption, and awarded us this certificate at the highest level. This year, DUTB re-evaluated its compliance program and ensured that it is in line with anti-corruption risk management best practices, and that it follows the highest international standards. We took and continue to take series of measures to ensure that all DUTB employees observe the principles of business integrity, recognize conflicts of interest and properly manage corruption risks. This was now confirmed by an independent international professional organization. As an effective knowledge center in the field of NPL management and corporate restructuring, DUTB will continue implementation of this program in future, as well."
About ETHIC Intelligence
The ETHIC Intelligence agency, founded by Philippe Montigny, former member of the Office of the Secretary-General of the OECD, has been reviewing, advising and issuing compliance and anti-corruption certificates since 2006, and is held in high regard internationally. The organization is recognized for its in-depth on-site reviews, structured and transparent evaluation programs, a solid conflicts of interest prevention system, and the certification decisions are made by a committee of respected international experts in corruption risk management. The certification process involves a varied range of activities, based on which the Agency decides whether the company under review meets the requirements for certification. Organizations allowed to apply for the certificate are required to meet strict international standards, which includes a recommendation from the international institutions such as OECD, World Bank, ICC (International Chamber of Commerce) and others.
|DUTB’s new executive directors are Jože Jaklin and Andrej Prebil ||24.10.2017|
Ljubljana, 24 October 2017 - During today's session of the the Board of Directors, DUTB's non-executive directors selected two executive directors for the new term. The new executive directors Jože Jaklin and Andrej Prebil will join Dr. Imre Balogh in tackling the future challenges facing DUTB over the coming years.
After the board meeting, Dr. Miha Juhart, chairman of the DUTB Board of Directors, said: "The non-executive directors had our work cut out for us, since we received applications from many qualified candidates. Taking into consideration the statutory requirements, candidate selection criteria, DUTB's strategy and vision for future development, I believe we have chosen suitable candidates. DUTB is approaching a pivotal point and has many challenges down the road over the coming years. We are starting a new chapter. I would like to sincerely thank our incumbent executive directors Janez Škrubej and Aleš Koršič for the exemplary job they have done over the years. Both were involved with DUTB practically since the beginning, and they share the credit for DUTB's successful performance today."
The international call for applications for the executive positions in DUTB was open between 10 July and 25 August this year. We received applications from 30 candidates. The selected executive directors will take office after the current executive directors' mandates expire, having regard to the current executive directors' contract notice periods and any other relevant obligations.
|BAMC 2017 half-year results surpass planned goals ||28.9.2017|
Ljubljana, 28 September 2017 - In the first half of 2017, BAMC successfully exceeded all of its strategic targets. Cash flows from asset management operations amounted to 246.4 million EUR, or 12.2% of the value of the assets acquired and merged, already surpassing in 6 months the full year statutory target. From its incorporation until mid-year 2017, BAMC generated 1,109.2 million EUR of inflows, representing 54.8% of assets transferred to it over the course of implementing measures to strengthen bank stability and the merger of the two banks. BAMC has so far repaid almost 1 billion EUR of its debt in net terms, achieved savings in operation costs and financial expenses to the tune of 15.5 million EUR compared to the previous period and ultimately generated a profit of 17.1 million EUR.
The high volume of cash flows generated has allowed BAMC to repay its financial obligations at an accelerated speed in the first half-year period. In February, BAMC made an early repayment of 168.0 million EUR of the syndicated long-term loan, followed by a further early repayment of 70 million EUR in addition to 51 million EUR regular repayment. Since its inception BAMC has thus repaid more than 1.7 billion EUR of high cost debt, which was partially refinanced with 723 million EUR new low cost and flexible funding, resulting in an overall 977 million EUR net repayment. BAMC has paid 133 million EUR's worth of interest on its debt since 2013, as well as 52 million EUR in guarantee fees paid to the state.
The result of halved cost of financing, positive effects of process optimization, post-merger cost reduction of 14% and further improvement on realized profit from closed transactions all contributed to the company's excellent half-year result of 17.1 million EUR in profits.
Peak performance of DUTB, which evolved into an internationally recognised knowledge center for restructuring and managing nonperforming loans, manifested also in business successes across the entire spectrum of activities. Among the high profile transactions the financial restructuring and sale of equity of Cimos, refinancing and full repayment of six debtors in the amount of more than 100 million EUR is worth mentioning. DUTB has also become a decisive player in the real estate market with a constant flow of carefully designed and value enhancing deals, including the landmark sale of apartments in Celovški dvori and Nokturno residential complex. Notable progress was achieved even in the more difficult industrial and commercial segment, with numerous sales, including the TVM, Vošnjakova and Primorje buildings.
|BAMC’s measure for a final financial restructuring of Mariborska livarna Maribor||29.6.2017|
Ljubljana/Maribor, 29 June 2017 – Earlier today, as the largest owner of MLM, BAMC lodged a motion with the Maribor District Court to commence a repeated compulsory settlement. BAMC simultaneously provided the company with adequate sources of financing in this phase. These actions will ensure that MLM (which has been successfully performing operational, business and financial restructuring) will have a sustainable level of debt, and allow its continued future growth and development.
In recent years, MLM has been successfully implementing restructuring measures, improving business processes and consequently attracting new orders. The financial effects of these measures have not yet fully materialized, as current revenues and cash flows are not reaching the targets set out in the financial restructuring plan from the 2013 compulsory settlement. Since MLM operates in a capital-intensive industry that requires substantial investments in production equipment, the deleveraging process is progressing at a slower pace than expected. Consequently, at the closing of the first quarter of this year, the management board of MLM established the company was insolvent and that it will not be able to settle the obligations incurred prior to the first compulsory settlement. DUTB filed for the repeated compulsory settlement as it found it the most appropriate way to maintain the operations of the company while creating a sustainable financial structure.
BAMC is working closely with the management of MLM to attain a sustainable debt level for the company, which will allow MLM to attract new business in the future. Among other the measures to address the insolvency issue, a new financial restructuring plan is being prepared, which, in addition to initiating a repeated creditor compulsory settlement, also envisages divestment of non-essential assets and reorganization to improve profitability. At the same time, in accordance with the ZUKSB, BAMC also provided a €1.5 million loan.
The repeated compulsory settlement procedure will only affect obligations vis-a-vis creditors from 2013 compulsory settlement.
BAMC is planning to take an active role in the debt-to-equity swap process in order to decrease its debt level and improve MLM's capital adequacy status.
|BAMC reaches €1 billion euros in asset recovery value mark ahead of schedule||16.6.2017|
Ljubljana, 16. June 2017 – BAMC reached an important
milestone recently. Significantly ahead of schedule, it successfully recovered
over half of the value of the portfolio of assets transferred to it from
Slovenian banks of systemic importance. In just three and a half years from the
first transfers, BAMC generated over a billion euros cash inflows, more
specifically a 1.086 million euros cumulatively until the end of May 2017.
With the €1 billion inflow generation
threshold required for 2019, already achieved in May 2017, BAMC is by far surpassing
the minimal requirement set in the Guidelines on BAMC operations. In first five months BAMC also surpassed the annual
statutory target of €200 million for the entire year 2017, since it has already
generated €227 million of inflows by the end of May. The largest portion of 2016
inflows comes from the sail and repayment of claims (80%), and the remaining share
comes from real estate and equity sales.
This year’s largest transactions comprise the
sales or repayments derived from claims towards companies DZS, Sava turizem,
Vizija holding, Vizija holding 1, Grep, Sava TMC, Imparo and others. BAMC has
also invested a great deal of energy into accelerating real estate sales, which
has lately been shown not just in the residential real estate sales, but also
in the sales of other types of properties owned by BAMC.
As a result, BAMC successfully reduced its cumulative
debt of almost €2 billion to almost one-half, and through the repayment of 1,7
billion euros high cost debt and raising 750 million new, low cost financing
reduced its borrowing costs, which were huge burden on profitability in
previous years, by 40 million in two years, and, as a result, posted 4,5
million euros profit in first quarter of 2017.
As of 31 May 2017, BAMC’s
portfolio included over 2,000 claims, real estate assets and equity shares,
with a total estimated value of more than €1,05 billion.
While in 2014 - 2015, BAMC generated its cash
flows mainly from large transactions, last year it generated a substantial share
of its revenues also from small-ticket sales, which require an even more labor-intensive
activity. Despite this, there are still plenty of interesting investment
opportunities in its portfolio, realization of which, on the other hand need
further intensified sales efforts, supported by focused marketing activities.
In macroeconomic sense, BAMC’s active
recovery activities have contributed to ensuring more efficient use of
previously bad assets, by putting them in the hands of new owners and/or better
utilization in successfully restructured companies, which has also contributed to
the revitalization of Slovenia’s economy.
|Completed gathering of binding offers in the 3rd phase of the Celovški dvori sales procedure||1.6.2017|
Ljubljana, 1 June 2017 – Yesterday, May 31, the Bank Assets Management Company (BAMC) completed the gathering of binding offers for residential units and business premises in Celovški dvori. In the third phase, BAMC offered 117 residential units and 23 commercial premises for sale to potential buyers.
Within 21 days of the Bidding Deadline, the opening of the binding offers shall be performed by a committee of three (3) in cooperation with the notary public Meta Zupančič in Ljubljana. The opening of the received offers will not be public. BAMC will select the winning bidder within a further eight-day period from the expiration of the bid opening deadline and execute a contract of sale for the respective real estate item.
The seller shall notify all bidders of the selection of binding offers for apartments of the Celovški dvori residential complex using the contact information provided in the bidding form, or by e-mail and by certified mail, within not more than 15 days of the bidder selection deadline.
More information about the third phase of the sale will be released to the public after the above deadlines.
|Fiesa’s new Municipal Detailed Zoning Plan brings more manicured green areas, and in the event it is overturned, the previous Fiesa-Pacug construction plan comes into force||31.5.2017|
The new Fiesa Municipal Detailed Zoning Plan, which the citizens' initiative is trying to prevent via referendum, is more in tune with the character of Fiesa, and is also more rational given the existing terrain.
The new Fiesa Municipal Detailed Zoning Plan brings the following advantages to the area:
- limited scope of construction, since the new Fiesa Municipal Detailed Zoning Plan allows only 7,435.25 square meters of gross floor area to be covered by new residential developments, while the previous Fiesa-Pacug construction plan anticipates new residential properties to cover a gross surface area of 11,575.82 square meters.
- the number of residential units has been reduced from 57 to 25,
- the planned floor area for the BAMC as the investor remains practically unchanged (the old Detailed Municipal Zoning Plan allows construction of 3,139 square meters of gross floor area, while the new allows 3,178), and the new investor will be required to construct more underground parking spaces, since freeing up parking capacities is crucial for the immediate vicinity,
- the planned projects will be lower in height, more attractive and less intrusive for the environment,
- it anticipates finishing, renovating and constructing all necessary infrastructure in the area concerned,
- it allows the maximum limitation of construction in Fiesa without risking lawsuits from investors who have already obtained building permits under the previous spatial planning document, which is still in force.
In the event of overturning the new Fiesa Municipal Detailed Zoning Plan, we must emphasize that this would effectively enact the previous construction plan, which permits 35% more new residential construction in terms of floor area.
Therefore, the new Municipal Detailed Zoning Plan means more green surfaces for Fiesa, as it anticipates 35% less land to be developed. It is therefore not true that the potential investor would be allowed to construct buildings on a much bigger scale in Fiesa. Overruling the new Municipal Detailed Zoning Plan will not prevent or stop potential construction development in Fiesa, as it would effectively enact the previous spatial planning document.
|Signing of the agreement with Croatia||24.5.2017|
Media statement - dr. Imre Balogh, CEO of BAMC:
The entire project of restructuring Cimos was like a long-distance hurdle race. But in the end, we successfully cleared all obstacles.
In the past weeks we polished out every last detail, so that all stakeholders could agree with the steps towards the final outcome. Thus, Cimos gained a new strategic owner last week, and today marks another key milestone by signing the purchase agreement for the claims of the Croatian state agency against Cimos. With signing the contract, the Croatian side has committed to withdraw the claim against Cimos, since the claim has been purchased by BAMC for 7 million EUR.
From this point forward, Cimos can fully focus on the future. The company got a solid ownership structure and sustainable clean financial and legal conditions, which provides long-term stability and a solid framework for future development.
The Cimos restructuring process is also proof that it is only through fruitful collaboration that the desired result on all levels can be reached. I would therefore like to sincerely thank the stakeholders who contributed to conclusion of this lengthy and highly complex process! Through constructive contributions of every party involved, we were able to reach an amicable overall solution.
|Sale of Cimos successfully concludes, TCH is the new owner of Cimos||18.5.2017|
Koper, 18 May 2017 - Today we marked the completion of the process of the sale of the Slovenian state-owned car parts maker Cimos to TCH, part of Italy's investment firm Palladio Holding Group. Closing was successfully concluded upon fulfilment of all requirements stated in the Sale and Purchase Agreement, which the sellers and the buyer signed on 14 October 2016. The purchase price in the amount of 100 000 euros has been paid to the sellers. The process of the transfer of shares and the subscription for ownership interest has also been implemented. For the purposes of recapitalization of Cimos, TCH has already remitted 18.3 million EUR of fresh capital into a fiduciary account, which will be partly used as working capital to modernize production and improve the company's operations and management, and partly to repay the debt to the bilateral banks. The buyer expects to repay most of the remaining debt to the bilateral banks by the end of May, as it provides Cimos with fresh liquidity in the amount of 15 million EUR.
The management of Cimos has executed fundamental operational restructuring since 2014, which was essential for the company's future development. Parallel to this, efforts were underway to perform financial restructuring and find a new owner. This process has been successfully finalized today.
Upon the closure of the sale of Cimos, Dr. Imre Balogh, CEO of the Bank Assets Management Company, who was tasked with leading the consortium of sellers of 92.3% stake in Cimos, said: »At the end of the sale process of Cimos, which has lasted for nearly 2 years and has been exceptionally difficult and complex, we are most pleased to announce that the final key milestone has been reached and all parties involved are firmly convinced that this transaction represents the best possible outcome for Cimos and all its stakeholders at large. Following an extensive sale process, Cimos will finally get a new owner and, above all, a strategic partner, who is able to give the company a fresh start and ensure further growth and development. Palladio – through investments in Dynamic Technologies Group and TCH - has a significant experience and global presence in the automotive industry and a track record of turning around and transforming businesses. The investor will bring the skills and resources necessary to take Cimos further on the development path and fully restore its position as a best-in-class operator. BAMC has a vested interest in ensuring sustainable framework for future operations of Cimos and will closely follow the long-term progress of this industrial powerhouse so crucial for Slovenia as we retain our position as the main creditor in the restructured and privatized company."
Lidia Glavina, President of Management Board of Slovenian Sovereign Holding is also very pleased with closing of sale of Cimos, saying: "Slovenian Sovereign Holding (SDH) played an active role as a member of the sale consortium, as it was essential that the process was successfully concluded in order to ensure that Cimos's high-level of know-how and technology, as well as its manufacturing operations and jobs, are preserved to the maximum extent possible. Although the company is now performing much better and achieving better results than in the past, it is important to emphasize that it is of crucial importance for Cimos that a private investor enters its capital structure and provides fresh capital. This way, the buyers will prolong their business partnership with Cimos, providing an additional positive signal for the company's future survival and performance.
It should be stressed that this milestone marks the successful conclusion of a highly demanding acquisition process of a highly specific nature, since the process was unfolding alongside the company's operational and financial restructuring, which followed after the compulsory settlement was legally finalized. The sale procedure required negotiations with a large number of stakeholders, and we are very happy to announce that all the parties actively working together in the sale process firmly believed in Cimos's potential and remained at the negotiating table until a deal was successfully negotiated, effectively securing real business opportunities for the company in the future.
We wish Cimos a great deal of business success and continued growth in the future."
Gino Berti, CEO of TCH Cogeme also commented closing and future plans, saying: "The transaction demanded remarkable efforts from all stakeholders involved and it must be clearly stated that today's result would not have been possible without the cooperation of the sellers, the management, employees and their representatives, Slovenian and non-local banks, customers, suppliers and also state and local politicians. We wish to express our gratitude, in particular to the ministers Zdravko Počivalšek and Goran Marić, who have made great efforts in settling a dispute that had been going on for two decades and represented a major obstacle to finalization of the Sale and Purchase Agreement.
The new shareholder and the management are committed to make their best efforts to promptly secure new orders for Cimos, which have dropped significantly in recent times due to, amongst other things, its stressed financial situation. Restoring the order back to acceptable levels will be a crucial task for the successful completion of the company's turnaround, which is already well on its way. Constructive talks and negotiations have already been held with several key Cimos customers that are also long term partners of TCH, and the new shareholder and the management are confident that Cimos will, once again, gain their full trust.
Nevertheless, several challenging tasks still lie ahead and no-one should be led to think that the Group's ongoing reorganization will yield immediate results, also considering the specifics of the automobile industry whereby lead times between new parts orders and delivery are normally in the range of 18 months. However, based on our proven track record, we are confident that a successful turnaround of Cimos can be completed within a reasonable time frame with our keen support.
TCH is proud to be a strategic partner of Cimos and is strongly committed to a long-term plan for a prosperous future of Cimos and all its stakeholders. For this purpose, we will invest 35 million euros by the end of the year. Over the next three years additional 50 million euros are planned to be invested into fixed assets to rationalize and consolidate Cimos's industrial base, to put the Group in a position to manage successfully the cyclical downturns and upturns of the global automotive market. On this solid basis, it will be possible to leverage on the commercial and manufacturing potential of the TCH-Cimos group to the maximum possible extent.
The headquarters of the new group will be based in Koper. The R&D of our automotive group will also remain in Slovenia, which will create jobs with higher added value in the long run."
Giorgio Drago, CEO of Palladio Holding, stated: "We are pleased to have successfully completed this complex transaction, in which we put great efforts in the last months. Moreover, I'd like to underline that this result couldn't have been possible without the support of all the stakeholders involved. From now on, TCH and Cimos are ready to put together their efforts with the aim of creating the leading European group in the manufacturing of automotive components and strengthening the solid and long lasting partnerships with their respective customers. All the above, also leveraging on and benefiting from the significant experience that Palladio Holding has gained in the automotive industry through its investments and its demonstrated distinctive capabilities to successfully manage complex turnaround situations."
Gerd Rosendahl, CEO of the Management Board of Cimos said: "We are deeply satisfied that after a process which has lasted nearly two years and all the efforts of interested parties, have finally brought us to a successful conclusion of privatization process. I am sure that Palladio Automotive and Cimos is a very good strategic fit.
This new alliance, Palladio Automotive and Cimos, with great synergy potentials and global production footprints, will support the future company success. Our position will also be strengthened by continuing with improvement activities, which, were based on the commitment and loyalty contributed by our employees, have already realized an enormous progress in our business operations in all regions where Cimos operates. We are proud of last few years' accomplishments and we are looking forward to the challenges and opportunities within our new Company Group. We will create long-term sustainable value for our stakeholders, customers and employees."
|BAMC signs contract of sale for the TVM complex in Maribor||18.5.2017|
Ljubljana, 18 May 2017 – Today, the Bank Assets Management Company (BAMC) and the company TAM-Europe, d.o.o., signed the contract of sale for the factory complex of the former Tovarna vozil Maribor (TVM). The company TAM-Europe, which was thus far renting the complex, was selected as the best bidder in a call for bids on the purchase of said complex.
TAM-Europe will thus become the owner of the production facilities, land, manufacturing equipment, machinery and other equipment for manufacturing motor vehicles of the former TVM, and will continue development and production of motor vehicles. With the purchase of the complex, the company TAM-Europe will remain an important stakeholder for the development of the broader Maribor region.
|BAMC has already sold over 100 apartments in the Nokturno seaside residential complex||19.4.2017|
Ljubljana, 19 April 2017 – The Bank Assets Management Company (BAMC) is continuing the successful sale of Nokturno apartments. Since the launch of the sale on 1 October 2016, BAMC has signed 90 sale contracts with apartment buyers, and booked reservations for an additional 15 apartments in the complex. This means that 105 apartment units are about to get new owners.
With the recent Nokturno apartment sales, BAMC is significantly boosting the average apartment sale numbers in the Koper region, where only approximately 17 apartments per month were sold in 2015 (source: GURS). In the second phase of the Nokturno apartment sales drive alone, i.e. from mid-February 2017, BAMC has already found owners for 58 apartments. Sold or reserved apartment units in Nokturno include 13 studio apartments, 42 one-bedroom apartments, 15 one-bedroom apartments with a den, and 35 large two- or three-bedroom apartments. Buyers can still bid on just over 100 apartments, roughly a quarter of which are smaller studios and one-bedroom apartments, 40 one-bedroom apartments with a den, and a similar number of large apartments. From 11 February 2017, BAMC is selling Nokturno apartments using the classic approach, with pre-determined asking prices. The asking prices are designed in accordance with current demand for residential units in the Nokturno residential complex, and were designed to follow along with the buyers' preferences and the growth of real estate prices in the coastal property market.
The Nokturno apartments are in the higher price range, with above-average indoor and terrace floor space, elevated ceilings and higher price range furnishings. All apartments have seaside views, giving the neighborhood a high quality of living for various segments of the population interested in buying residential properties. As of 20 March, the Parenzana, the road connecting the towns of Koper and Izola, has been closed off for traffic. In the future, the coastal belt is going to be dedicated more to social activities and recreation, which we expect will further increase the local real estate market value in combination with the development of new beach infrastructure.
Additional information for potential buyers:
- Detailed apartment pricing information is posted at the website www.nokturno.eu, under the Apartments section.
- We recommend booking a viewing slot in advance by calling our toll-free number 080 81 18, or by sending an e-mail to firstname.lastname@example.org.
- The asking prices will be predefined and are not subject to negotiation.
- A GPS navigation app has been integrated into the website www.nokturno.eu, which will guide you to the Nokturno residential complex.
- BAMC offers a guarantee for latent defects, in accordance with the law.
- The sale process is managed by the real estate agency ABC nepremičnine d.o.o., which was awarded the contract via public tender.
|BAMC is launching the final phase of the Celovški dvori apartment sale, with 117 apartment units and 23 commercial premises available for sale, with the appertaining parking spaces||6.4.2017|
Ljubljana, 6 April 2017 – On 11 April 2017, the Bank Assets Management Company (BAMC) is launching the sale of the largest bundle of apartments in Celovški dvori. 117 apartments will be offered to potential buyers. At the same time, 23 business premises will also be available for sale, with the appertaining parking spots.
BAMC prepared attractive starting prices for the third stage of the sale, as well, both for apartments and commercial premises. The asking prices in the third phase will also be attractive to potential buyers, and will be based on the experience from the first two phases of the sale process, and are currently considered to offer the best value for money in the newly-built properties segment. The third phase of the sale of apartments and commercial premises will have a 50-day open-house viewing period (11 April – 31 May), during which potential buyers will be invited to submit their bids. As the third phase of the sale will have the highest number of apartments offered for sale, as well as 23 commercial premises, the open-door viewing period has been extended to 50 days.
In addition to 117 apartments, the Celovški dvori complex has 23 commercial premises available in the unfinished 3rd stage of construction – 16 commercial premises are located on three stories as triplex units (basement, ground floor and first floor), and seven are located in two stories as duplex units (ground floor and 1st floor). The commercial promises boast easy access, as the entrance is mostly located directly from their allotted parking spaces in the basement part of the premises, which is connected to the ground floor portion of the premises. Numerous residents, exceptional accessibility of the location, developing surrounding infrastructure and large display windows which allow business owners to promote their businesses, ensure that purchasing the commercial premises in the Celovški dvori complex is a good investment.
The Celovški dvori commercial premises are suitable for a range of activities. Available premises include those suitable for services, shops or offices (without a proprietary terrace), as well as commercial premises with spacious proprietary terraces, suitable for use as cafes and restaurants.
BAMC will offer a guarantee for latent defects in apartments, in accordance with the law. The third round of the sale process will be managed by the real estate agency STOJA Trade d.o.o., which was selected by way of public tender.
- The bidding terms and conditions will be published on our website www.celovskidvori.eu under the Sales section a day before the start of the viewings at the latest.
- Potential buyers will also be provided with clear instructions during the viewings.
- We recommend prior booking of the viewing time by calling the number: 01/2800-863 or e-mailing us at: email@example.com.
|BAMC celebrates successful year for real estate management||22.3.2017|
Ljubljana, 22 March 2017 – The Bank Assets Management Company (BAMC) closed the year 2016 with good results in real estate management. It sold 166 of its directly-owned items of real estate in 2016, amounting to almost 18 million EUR, plus more than 89 million EUR from selling its real estate-backed claims.
The 18 million EUR figure does not include Celovški dvori and Nokturno sales, which BAMC started in 2016. In 2016, BAMC signed contracts for 16 more directly-owned properties in the amount of almost 10 million EUR, while the funds for the purchase will be remitted, and the sale recognized, in 2017.
BAMC real estate management operations include two key categories: directly-owned real estate and real estate pledged as collateral. Directly-owned real estate involves mainly real estate which BAMC took over in bankruptcy proceedings, to prevent its value slipping under the internally estimated value, causing lower recovery value for the owner and taxpayers. BAMC actively manages all real estate items taken over, particularly by taking steps to increase property value and improve the sale potential.
In the segment of directly-owned real estate in 2016, most sales involved residential units, of which BAMC sold 61. BAMC also sold another 20 land plot units, 6 industrial units, 10 commercial units, 19 tourist units, 9 shop premises and 41 units from the Miscellaneous category.
BAMC entered 2017 with very encouraging results in real estate management, as well. So far, BAMC has already received approximately 13 million EUR from the sales of 98 apartments and houses alone. This figure will continue to rise, as the sale of apartments and commercial premises in the Nokturno complex has been continuing since February and over the first month of the BAMC has signed contracts for 25 apartments. In April, the final stage of the Celovški dvori apartments sale will begin, where 117 apartments and 23 commercial premises will be offered for sale.
|Successful first month of the 2nd stage of the Nokturno apartments sale process||13.3.2017|
Ljubljana, 13 March 2017 – The Bank Assets Management Company (BAMC) signed 25 new Nokturno apartment sale contracts in the first month of the 2nd stage of the sale process, i.e. more than one apartment per business day.
BAMC expects the demand for these apartment units to increase in the spring and summer, the most suitable months for selling residential properties in the coastal region. The 25 apartment sale contracts signed in the past month provide confirmation that the purchase of apartments in the Nokturno residential area is a sound decision. The Nokturno apartments are in the higher price range, with above-average indoor and terrace floor space, elevated ceilings and higher price range furnishings. All apartments have seaside views, giving the neighborhood a high quality of living for various segments of the population interested in buying residential properties.
- More detailed information is posted at the website www.nokturno.eu, under the Apartments section.
- We recommend booking a viewing slot in advance by calling our toll-free number 080 81 18, or by sending an e-mail to firstname.lastname@example.org.
- The asking prices are predefined and are not subject to negotiation.
- On the website www.nokturno.eu there is a GPS navigation app which will lead you to Nokturno.
- BAMC will offer a guarantee for latent defects in accordance with the law. The sale process is managed by the real estate agency ABC nepremičnine d.o.o., which was selected in a public tender.
|Successful meeting with Cimos business partners||2.3.2017|
Frankfurt, 2 March 2017 - Today BAMC, SSH and Cimos's customers had a very positive meeting to discuss the actual situation and the alternatives for Cimos's future operations. The business partners confirmed their willingness to stay committed to Cimos.
|Second phase of the sale of Celovški dvori apartments concluded successfully, all 51 apartments sold||28.2.2017|
Ljubljana, 28 February 2017 –The Bank Assets Management Company (BAMC) received 374 offers in the second stage in the sale of the Celovški dvori apartments, and sold all 51 apartments. BAMC is extremely satisfied with the results of the second phase of the sale. The third phase of the sale of apartments and business premises is expected to launch in April.
The opening of the bids on 51 apartments available for sale in the second phase was done before a committee in the presence of a notary public. Based on the bids received, all apartment units offered for sale in this phase will be sold once again. All bidders are expected to be notified of the results before the end of this week.
The bidders participating in the 2nd sale phase who were unsuccessful will be given an advantage in the purchase of apartments offered for sale in the 3rd phase. If a situation should arise where multiple non-selected bidders have bid the same on a specific apartment in the third stage of the sale, their paid-in deposits will be considered in the third phase as the earliest deposits, and consequently their bids will be considered the most advantageous.
BAMC expects to put the largest and final set of apartment units in Celovški dvori on sale in April. 117 apartments will be offered for bidding in the third phase. 23 business premises are also being made ready for sale, with the pertaining parking spots.
The third phase of the sale of apartments will have an open-house viewing period, during which potential buyers will be invited to submit their bids. The asking prices in the third phase will also be attractive, and will be based on the current real estate market and experience from the first two phases of the sale process. The business premises will also be available at attractive prices. The business premises will be offered for sale unfinished, in the 3rd construction phase, allowing buyers a great deal of freedom in designing the interiors. The Celovški dvori complex has a total of 830 apartment units, of which 226 will be sold by BAMC. The Celovški dvori residential complex is thus becoming a lively neighborhood, which creates excellent opportunities for business.
BAMC is very happy with the outcome from the first and second phase of the process, since the bid prices offered by the buyers greatly exceeded the starting prices offered by BAMC. The second phase of the sale of Celovški dvori apartments once again confirmed that there is a great deal of interest in the residential complex, which will provide its residents with all the amenities for comfortable living.
Head of Corporate Communication
phone: +386 8 205 33 17, +386 1 429 38 36