Delek Group owner Yitzhak Tshuva
Delek Group to buy assets in Finland
Group's real estate division buys 17-asset portfolio belonging to one of Finland's largest furniture manufacturers for $74.6 million
Delek Group's real estate division, DGRE, continues to branch out into Europe, Yedioth Ahronot revealed Thursday.
The company announced that one of its subsidiaries has bought a 17-asset portfolio belonging to Finland's Puukesuks, for an estimated $74.6 million.
Puukesuks is one of Finland's largest furniture manufacturers. The revenue DGRE is expected to gain from the assets is around $5 million a year.
DGRE funded the purchase through a $64.3 million nonrecourse loan (a loan secured by a pledge of collateral, typically real property, but for which the borrower is not personally liable).
The company's subsidiary is negotiating with a third party, who is assumed to buy 10% of the portfolio.
Despite recent acquisitions, Delek Group Real Estate is plagued by the real estate sector's general difficulties. Company stocks have risen a mere 1% since the beginning of the year.
