Parque Arauco Buys Into MPE

Parque Arauco, the Chilean shopping mall developer and operator, has bought 83% of the shares of Inmobiliaria Paseo de la Estacion, owner and operator of the Paseo de la Estacion Mall (MPE) for $61m. MPE’s total asset value is approximately $97m with debt of $24m, says Parque Arauco. MPE expects to generate Ebitda in 2008 of $12m, approximately 23% of Parque Arauco, consolidated 2007 Ebitda. “This purchase, and the recently announced acquisition of the Plaza El Roble Mall in Chillan, Chile, would increase Parque Arauco S.A.’s consolidated 2007 Ebitda by over 35%,” says Parque Arauco. The selling shareholders are made up of three principal families: Mujica, Santa Cruz and Yaconi, amongst others. The Chilean State Rail Company (EFE) will remain a 17% shareholder in MPE.