Grupo Rayet files for bankruptcy

MADRID Tue Nov 13, 2012 7:27am EST

MADRID Nov 13 (Reuters) - Grupo Rayet, a leading shareholder in listed Spanish property group Quabit, said on Tuesday it had filed for bankruptcy after failing to renegotiate its debt.

Grupo Rayet, which owns 42 percent of Quabit, said it sought bankruptcy protection after one non-financial creditor held out in talks on restructuring.

The failure will not affect the business activities of the company or those in which it holds stakes, Rayet said.

Rayet has 593 million euros ($754 million) of liabilities, 302 million of which is financial debt, according to data from Quabit provided last week when news of a potential bankruptcy was announced.

Separately, Quabit, which came to symbolise Spain's real estate boom and bust, announced a nine-month loss of 29 million euros.

House prices in Spain have fallen up to 40 percent from their 2007 peaks, and banks have had to take huge write-downs on property assets. More than half a million new homes in Spain lie empty. ($1 = 0.7867 euro) (Reporting by Tomas Cobos; Writing by Jesus Aguado; Editing by Dan Lalor)

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