Fomento de Construcciones y Contratas €710 million rights issue

Overview:

• Fomento de Construcciones y Contratas (FCC) has undertaken a €710 million rights issue.
• The aim of the capital increase is to reduce the company's debt and reinforce the structure of its capital.
• FCC is a Barcelona-based Spanish construction company that is publicly traded and part of the IBEX 35.
• The two biggest shareholders in the company are Mexican billionaire Carlos Slim (25.6%) and the Koplowitz family (22.4%).
• The deal will see the Slim (through Inversora Carso) and the Koplowitz family (through companies Dominum Dirección y Gestión - DDG and Nueva Samede) renegotiate their shareholder's agreement. Bankia and BBVA acted as lenders to DDG.

Adam Majeed - Regional editor