The Sanahuja family will retain control of Màgic de Badalona after Barcelona Commercial Court No. 7 closed the insolvency proceedings involving Vila Badalona S.L., the company through which the family manages the shopping centre. The ruling was reported on Thursday 17 September.

For shoppers, tenants and businesses at the centre beside Badalona's Palau Olímpic, the decision ends an attempt by Mexican investment group Cojaswinvest to take control of the property through the debt held against its operating company.

The proceedings began after Vila Badalona entered insolvency in 2024. Cojaswinvest, led by Alberto Cojab, acquired debt linked to the centre and held 97.72% of the listed liabilities, according to the court document.

Debt purchase did not lead to control of the centre

Aareal Bank AG had provided a €78 million loan for construction of the shopping centre, which opened in October 2008. When Vila Badalona entered insolvency, the debt stood at €44 million, including €42.5 million outstanding from the original loan.

Cojaswinvest subsequently acquired the liabilities and sought to turn the debt into equity, which would have given it control of the Badalona asset.

The Sanahuja family, who also manage Barcelona's L'Illa Diagonal shopping centre, used Downforce Investments S.L., a company controlled by the same brothers, to acquire and cancel €1.5 million in provisional insolvency claims:

  • €1.02 million was cancelled through a capital increase.
  • €480,000 was cancelled through a direct waiver.

That left Cojaswinvest as the only creditor. Vila Badalona's owners and the court-appointed insolvency administrator then requested that the case be closed under Article 465.2 of Spain's Revised Insolvency Law, which permits closure where there is no longer more than one creditor.

Court rejects challenge to the closure

Cojaswinvest appealed, arguing that the family had used the insolvency process improperly to prevent the company's liquidation and halt mortgage enforcement action against the Badalona property.

The court upheld the insolvency administrator's decision. It found that a third party may lawfully acquire claims and waive them in order to bring insolvency proceedings to an end, including where that third party is linked to the insolvent company.

“All creditors on the list, except Mr Cojab, will have their claims satisfied. And Mr Cojab's claim will remain, once the insolvency proceedings have concluded, intact and with all enforcement routes open to secure payment.”

The ruling states that Cojaswinvest may pursue individual and mortgage enforcement action outside the insolvency proceedings, while control of Màgic de Badalona remains with the Sanahuja family.

Reported by metropoliabierta.elespanol.com, Metrópoli Abierta - Urban Life.