Its fair value is estimated at EUR175 million. The valuation of the five-star hotel was carried out according to capitalization of cash flows, reads the report.
Bucuresti Turism received a credit line of EUR71.5 million, out of which EUR62.5 million were disbursed in a first stage in September 2011 and the remaining EUR9 million will be transferred in a second stage, according to Elbit Imaging. Therefore, the net worth of the hotel complex is EUR103.5 million.
The compound includes 424 rooms and 294 apartments (Centre Ville), commercial areas and a casino.
Bucuresti Turism is part of Israeli group Elbit Medical Imaging (EMI), also present in Romania through firm Plaza Centers, the developer of real estate project Dambovita Center. EMI is controlled by Europe Israel Ltd.
Radisson Blu is the largest five-star hotel in Romania, outranking InterContinental (423 rooms) and JW Marriott (402 rooms), which are both located in Bucharest, too.
Bucuresti Turism reduced its net loss by 40%, from EUR14 million to EUR8.2 million, while its earnings before interest, taxes, depreciation and amortization (EBITDA) increased 45% to EUR34 million. (EUR1=RON4.5316)