odere administration council approved the Sales Public Offer last Thursday, an operation the firm has been waiting for eight years. In 1999 it tried to obtain financing for the first time, altough the move was unsuccessful at that moment.
The latest time that Martínez Sanpedro family, the majority shareholder of the group with more than 90% of the capital, aimed the firm to become quoting in the market, was in November 2005. This operation could not be achieved due to problems with institucional foreign investors.
The company will try to do so again next July. Credit Suisse acted as a consultant to the council. Codere approved the placement of a minority part of the capital and, at the same time, is searching for financial investors to sell another minority part of its patrimonial society, owner of almost 85% of Codere group.
The sale of Codere has been controversial. On top of the change in the role of Morgan Stanley, which has passed from being the consultant of the seller to the possible buyer, there was a change in one of the most important conditions of the transaction: what was really in sale. Martínez Sampedro family decided to sell the patrimonial society instead of the company that owns Codere shares.
This decision caused a deep discomfort among the risk capital funds that have passed the non-binding offers. The decision, that Credit Suisse, the consultant bank of Martínez Sanpedro, communicated to the interested parties, changed the private equity plans, which accepted with annoyment that just a minority of the capital was sold.
Now they have decided to sell the 49.9% of the shares, but the patrimonial company just has almost 80% of Codere shares, so potential buyers will obtain as much as a 35% of the main gambling company in Spain.