Friday, 25 February 2022

Croatian Fortenova Group Successfully Sells Off Zagreb's Cibona Tower

February the 25th, 2022 - The Croatian Fortenova Group has successfully sold of Zagreb's famous Cibona tower. The tower was synonymous with the former Agrokor, and the move has shaken off even more chains of the past for this large company.

As Poslovni Dnevnik writes, the Croatian Fortenova Group and the Agram concern have signed an agreement on the purchase and sale of real estate previously owned by the Croatian Fortenova Group within the Cibona business tower in the heart of the City of Zagreb. This regards office spaces spanning the sixteen floors of this well known tower and a garage space, which makes a total of about 6700 square metres. According to the contract, the purchase price will remain a trade secret.

According to the press release, the Cibona Business Tower is one of the most representative business buildings in all of Zagreb. It is located in the centre of the city, in a prestigious and easily accessible location, and from the moment it was built for the Universiada back in 1987 as part of the sports hall complex, it has become one of the city's most recognisable symbols.

"After mostly concluding the sales processes of companies that are not part of our parent business, we focused on the sale of real estate that isn't part of the core business. We are pleased to have found a partner in a very short time who, I'm sure, will provide the necessary investment for this very well-known building,'' said James Pearson, the CEO of Fortenova's Finance Group.

"The Cibona tower is an iconic building of the City of Zagreb and fits perfectly into the real estate portfolio of the Agram concern. Recognising this investment opportunity, we're going to continue to invest in the domestic economy, and this acquisition also goes hand in hand with the 30th anniversary of the successful operation of the Agram concern,'' said M.Sc. sc. Ivana Bratanic, Vice President of the Agram concern.

For more, make sure to check out our dedicated business section.

Tuesday, 19 October 2021

Fortenova Group Selling Cibona Tower, Former Seat of Todoric's Agrokor

October the 19th, 2021 - Following a name change to rid the company of its negative associations, the famous Cibona tower, the former seat of the formerly untouchable Ivica Todoric's all powerful Agrokor is now up for sale. The attractive space may well be appealing to many, but for many Croatian businesses, bad energy may dominate and throw a spanner in the works for a quick sale.

It seems a lifetime ago that the potential collapse of Agrokor was the single biggest threat to the Croatian economy. It seems like a much smaller concern in comparison to the economic situation of 2020 caused by the pandemic, but back in 2017, Ivica Todoric's alleged wrongdoing dominated the domestic media space. Fortenova Group, formerly Agrokor, has done an enormous amount of work to reshape what was a crumbling business on the very edge of total collapse, and under Fabris Perusko, the business side of things has recovered rather remarkably.  

Hard work has been done to ''rinse'' the company, only this time not of money, but of bad associations following a tremendous scandal involving former top dog Ivica Todoric and various other individuals, including some big government names. Now the Cibona tower in the City of Zagreb is up for grabs.

As Poslovni Dnevnik writes, the Fortenova Group has started selling off business premises located within the famous Cibona tower, the former headquarters of Todoric's Agrokor, which looms imposingly over its surroundings. 16 of the 21 floors of the building, which are majority owned by Fortenova Group, are now on the market, writes tportal.

The Colliers agency, which mediates in sales, emphasises that this is a ''famous office building'' in a prestigious location in the centre of Zagreb. According to their estimates, investors could achieve a rental yield of 7 to 9 percent per year, with the possibility of significant capital gains on top of that.

A total of 5,827 square metres of space is for sale, which includes 16 floors of office space and 65 garage spaces, which makes up about 76 percent of the skyscraper's area.

In addition to Fortenova Group, which has a 76 percent stake, the co-owners of the Cibona tower are CI-MED, which holds 10 percent, and Elektroprojekt, which owns 14 percent.

Currently, 35 percent of the advertised space is rented by various users.

For more, follow our dedicated business section.