VIENNA, Jan 22 (Reuters) - Austrian property group CA Immo has bought back a financing portfolio worth a nominal 428 million euros ($580 million) from Volksbanken AG, it said on Wednesday, giving no other financial details.
Secured real estate loans of CA Immo units in eastern Europe and unsecured financing at the holding company level each account for around half of the amount, it said.
CA Immo finance chief Florian Nowotny said the deal would strengthen the structure of its balance sheet and let the group quickly utilise funds from property sales in recent weeks.
“As early as the first quarter of 2014, we will feel the benefit of a lasting reduction in payable interest,” he added in a statement.
$1 = 0.7383 euros Reporting by Michael Shields; Editing by Mark Potter