Cresud Inc. Completes Sale of "Los Pozos" Property for $2.23 Million
Cresud Inc. (NASDAQ: CRESY, BYMA:CRES), a leading Argentine real estate company, has announced the successful completion of the sale of a portion of its "Los Pozos" property. The transaction involved a 3,630-hectare section of the farm located in Salta Province, Argentina, with the company retaining approximately 231,700 hectares.
The deal was finalized for a total of $2.23 million, equivalent to $614 per hectare. Cresud has already received $1.1 million, with the remaining $1.13 million secured by a mortgage on the property to be paid in a single installment in September 2025.
The sale resulted in a gain of approximately ARS 2,150 million for Cresud, reflecting a profit that will be included in the company's financial statements for the first quarter of fiscal year 2025. This move is part of Cresud's ongoing operations, which encompass a diverse portfolio of properties in the real estate and agriculture sectors.
In addition to the land sale, Cresud Inc. has engaged in significant financial activities by issuing Series XLVI notes in the local capital markets, raising an equivalent of USD 28.6 million. These notes, with an interest rate of 1.50% and maturing on July 18, 2027, demonstrate Cresud's efforts to strengthen its capital structure.
Furthermore, Cresud has announced an upcoming virtual General Ordinary and Extraordinary Shareholders' Meeting, where key financial decisions will be made, including the distribution of dividends and allocation of net income.
InvestingPro Insights:
- Cresud's recent land sale showcases its strategic asset management in the Food Products industry.
- With a market capitalization of $651.59 million USD, Cresud demonstrates a significant presence in the market.
- The company's low P/E ratio and high dividend yield make it potentially attractive to investors.
In conclusion, Cresud's recent financial moves indicate a proactive approach to managing its assets and strengthening its financial position. Investors may find the company's undervalued stock and high dividend yield appealing, making Cresud a potential investment opportunity worth considering.