Immofinanz pays around 50m euros for Adama

Austria’s Immofinanz investment fund, the biggest foreign investor on the Romanian real estate market, is close to entirely taking over Adama real estate developer, in which it currently owns 30%, in the wake of a deal valued at around 50m euros.

The Austrians would thus drive out from Adama’s shareholder structure Morgan Stanley, Lehman Brothers and Tiger Global investment funds, as well as the company’s founders, David Flusberg, Dvir Cohen-Hoshen and Isaac Cohen-Hoshen, with the deal being part of Immofinanz’s portfolio “cleaning” process carried out the past two years, since the Austrians have been entirely acquiring the projects part of domestic partnerships.

Acquisition talks started back in 2009, but the due diligence process was launched around six months ago, and the deal is likely to be completed in the following weeks.

Adama finalised around 1,600 apartments on the domestic market, being the foreign investor boasting the highest number of built homes, from which it has around 600 units still available, as well as 36 hectares of land for future projects.