[IMGCAP(2)]MPE's total asset value is approximately $97 millionwith a debt of $24 million. According to the company's 2008estimates, MPE will generate earnings before interest and tax,depreciation and amortization or Ebitda of $12 million, which isapproximately 23% of Parque Arauco's consolidated 2007 Ebitda.

|

Parque Arauco recently also completed the purchase of the PlazaEl Roble Mall in Chillan, Chile. That, plus the purchase of theSantiago mall would increase Parque Arauco's consolidated 2007Ebitda by more than 35%.

|

"This acquisition further strengthens Parque Arauco's leadershipposition in Chile in all socioeconomic segments and is an importantpart of the company's new corporate strategy which encompasses theexpansion of operations within Chile and the internationalizationof Parauco in Latin America," says Andres Olivos, CEO of ParqueArauco in a prepared release, describing the facility as one of themost important malls in Chile.

|

The mall has been a well established shopping destination in theChilean capital for 25 years. It hosts 450 establishments,including 100 retailers, 25 restaurants, two medical centers, aneight-screen cinema, a supermarket, two food courts, and the SanBorja Bus Terminal.

|

The acquisition of MPE significantly increases the rentablefloor space of Parque Arauco in Chile and strengthens its positionwithin the industry. The company now has more than 3.1 million sfof rentable floor space in the country.

|

The selling shareholders are made up of three principalfamilies: Mujica, Santa Cruz and Yaconi, among others. The ChileanState Rail Co. will remain a 17% shareholder in MPE. In addition todeveloping and operating shopping centers in Chile, Parque Araucoalso has holdings in Argentina and Peru.

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.