Llanera Will be the First Spanish Developer to Exit Receivership
As we had previously reported, an Administration Procedure does not equate to bankruptcy as some mistakenly repeatedly uphold. Receivership procedures in Spain are geared towards saving ailing companies which are undergoing temporary cash-flow problems. Throughout the Administration Procedure, and dependant on a Financial report drafted by experts, the Mercantile judge will rule on whether a company under administration should file or not for bankruptcy.
Developer Llanera was the first large Spanish developer to seek Creditor Protection back in 2007. It is fitting that it’s the first one to announce its clawed comeback. The Creditors’ General Meeting must ultimately give its approval tomorrow to the company’s proposal.
This is indeed welcome news for stressed creditors who are now bogged down in similar legal quagmires and have lost all hope.
Source: El Economista (http://www NULL.eleconomista NULL.es/empresas-finanzas/noticias/1571923/09/09/Llanera-primera-gran-inmobiliaria-que-saldra-del-concurso NULL.html)