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Carlos Slim target FCC buys back debt at discount: -source

April 22, 2016 at 04:03 am EDT

MADRID (Reuters) - Spanish construction group FCC has reached a deal with creditor banks to buy back close to 400 million euros ($451 million) of debt at a discount, a source familiar with the matter said on Friday.

FCC, which is partly owned by Mexican tycoon Carlos Slim, has been dealing with high debts for several years following a 2008 property market crash in Spain which sent thousands of developers to the wall and brought the firm close to bankruptcy.

Slim, who earlier this month launched a full takeover bid for FCC, has pushed for a drastic debt-reduction plan since he first invested in the group two years ago.

The source said FCC had agreed with a dozen banks to repurchase between 380 million and 390 million euros of high interest bearing debt at a discount of more than 15 percent.

The debt carried an interest rate of around 5 percent and was seen as one of the last obstacles to complete FCC's financial turnaround.

FCC declined to comment on the move, which had first been reported by Spanish business newspaper Cinco Dias.

(Reporting by Robert Hetz; Editing by Julien Toyer and Alexander Smith)

Stocks mentioned in the article

Add to a list Add to a list 0 selected To use this feature you must be a member Log in Sign up	Price	Change	5d. change	Capi.
COMPLETE FINANCIAL SOLUTIONS, INC.	0.0051 USD	-7.27%	-26.09%	4.99K
DISCOUNT INVERSIONES SICAV S.A.	15.2 EUR	+5.56%	+27.73%	3.73M
FIRM	- PTS	-	0.00%	-
FOMENTO DE CONSTRUCCIONES Y CONTRATAS, S.A.	12.74 EUR	+1.59%	+2.74%	5.82B

Carlos Slim Helú

Founder of 5 different companies, notably: America Movil SAB de CV, Teléfonos de México SAB de CV and Grupo Financiero Inbursa SAB de CV, Carlos Slim Helú is an entrepreneur and businessperson who has been the head of 13 different companies and currently holds the position of Chairman for Minera Frisco SAB de CV, Chairman at Asociación Mexicana de Intermediarios Bursátiles AC, Chairman of Instituto Carlos Slim de la Educación, A.C., Chairman at América Telecom SA de CV, Chairman of Carso Infraestructura y Construcciones SA de CV and Chairman at Promotora del Desarrollo de América Latina SA de CV. He is also Chairman of Fundación Telmex AC, Chairman of Fundación Carlos Slim Helú AC and Chairman of Telemex Foundation AC and on the board of 10 other companies. In the past he occupied the position of Chairman for Carso Global Telecom SAB de CV, President for Bolsa Mexicana de Valores SAB de CV, Chairman at Teléfonos de México SAB de CV (he founded the company in 1990), Director at America Movil SAB de CV and Chairman Emeritus at Grupo Financiero Inbursa SAB de CV. Carlos Slim Helú received an undergraduate degree from Universidad Nacional Autónoma de México.

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América Telecom SA de CV América Telecom SA de CV Wireless TelecommunicationsCommunications América Telecom SA de CV provides cellular and telecommunication services. It provides telecommunication services, through its subsidiary Telcel, in the nine mobile regions into which Mexico is divided. Its other subsidiaries include Corporativo Empresarial en Telecomunicaciones, Orca, Technology Fund One, Enitel Intelsat, Construccion y Servicios Internacionales, Techtel LMDS Comunicaciones Interactivas SA, Telet SA, Americel SA, Comunicacion Celular SA, Consorcio Ecuatoriano de Telecomunicaciones SA, Telecomunicaciones de Guatemala, SA, Telcel CompUSA, Inc., TracFone Wireless, Inc., Arbros Communications, Inc. and Genesis Telecom CA, which operate in various countries in the American continent. The company was founded in December 2001 and is located in Mexico City, Mexico.	Chairman
MINERA FRISCO, S.A.B. DE C.V.	Chairman

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