(Updates with plans for proceeds in fourth paragraph.)
Dec. 29 (Bloomberg) -- Fomento de Construcciones & Contratas SA, a Spanish construction company, sold real estate including the Picasso Tower in Madrid for 460 million euros ($595 million) as part of its plan to improve its finances.
The Picasso Tower was purchased by Pontegadea Inmobiliaria for 400 million euros, FCC, as the Madrid-based company is known, said in a statement today. It also sold its corporate offices in Barcelona and Madrid for 60 million euros.
FCC said in a separate statement that its estimated capital gain before taxes from the asset sale was 180 million euros. Proceeds from the sale will be used to cut debt, it said.
Pontegadea Inmobiliaria is a real estate investment company run by Amancio Ortega, the founder and biggest shareholder of Inditex SA, the world’s largest clothing retailer and owner of the Zara brand.
Banco Bilbao Vizcaya Argentaria SA, Spain’s second-largest lender, and Aguirre Newman were FCC’s advisers on the transactions, the company said.
FCC’s shares have climbed 2.2 percent this year, compared with a 14 percent decline for the IBEX 35 Index. The company is valued at 2.56 billion euros.
--Editors: Daniel Taub, Christine Maurus
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