Almacenes Éxito S.A. suscribió un memorando de entendimiento con el Fondo Inmobiliario Colombia

Envigado, September 23, 2016
Almacenes Éxito S.A. and Fondo Inmobiliario Colombia (FIC), a private equity fund managed by Fiduciaria Bancolombia, signed today a memorandum of understanding for an investment in Viva Malls

Almacenes Éxito S.A. (“Grupo Éxito”) announces to its shareholders and the market that today it executed a memorandum of understanding with Fondo Inmobiliario Colombia (“FIC”), private equity fund managed by Fiduciaria Bancolombia S.A. Sociedad Fiduciaria, for an investment in equity thereby of more de COP 770 thousand million in Viva Malls. Viva Malls is a real estate trust vehicle a recently incorporated by Éxito on July 15, 2016[1].

 

Viva Malls is the largest Colombian vehicle specialize in the development and operation of commercial real estate property. It has a portfolio of 14 assets, 10 of which are in operation and 4 are currently under development. The said 14 assets represent about to 440,000 sqm of GLA, located in 8 cities of the country, for an overall portfolio of COP1.6 billion by the end of 2018.

 The operating assets correspond to:

- 4 shopping centers: Puerta del Norte in Bello - Antioquia, Viva Laureles in Medellín, Viva Palmas in Envigado - Antioquia, and Viva Wajiira in Riohacha.

-6 shopping galleries: Colombia, La 33, and San Antonio in Medellin; Country, Suba and Occidente in Bogotá.

-These 10 assets include Grupo Éxito's anchor stores.

The projects in the development stage are the following:
 

-Viva Envigado will be one of the largest shopping centers in the country with near to 140.000 sqm of GLA, including 280 commercial units, as well as corporate offices of Grupo Éxito. The opening of the total project is expected in 2018.

-   Viva Barranquilla, with near to 65.000 sqm of GLA, including 239 commercial premises, will be the largest shopping center in the city. Opening is scheduled for November of 2016.

- Viva La Ceja, over 10,000 sqm and 116 commercial premises, will be the first shopping center in this municipality located in the eastern region of Antioquia. Opening is scheduled for September 29th, 2016.

- Viva Tunja, with over 35.000 sqm of GLA and 140 commercial premises, will be the largest shopping center in the city. Opening expected in 2018.

Subject to negotiations and closing of the final agreements, should is the transaction executed, Grupo Éxito would hold 51% of the participation right in the trust, and FIC would acquire the remaining 49%, through an expected in-cash total contribution of over MCOP 770.000. It is estimated that MCOP 388.000 would be contributed by FIC upon closing, which is estimated to take place in 4th trimester of 2016. The proceeds of this cash contributed would be invested in the acquisition and development of real estate projects in Colombia.

 

Grupo Éxito, which would hold control and thereby the consolidation of the vehicle, would also provide the development, leasing, operation and asset management services at arm´s length.

 

FIC is one of the largest private equity funds focused on Real Estate Properties in Colombia. One of its main investors is Bancolombia S.A, a banking company.

 

Please contact Almacenes Exito’s Investor Relations for any additional questions or comments.  

Maria Fernanda Moreno

Investor Relations Manager

Tel (574) 339 6560

exitoinvestor.relations@grupo-exito.com

 

[1]According the relevant information published July 15th, 2016.