The industrial group Sapa has been building its presence in the tech and defense firm Indra, but the strategy has proven quite costly. Thanks to complex financial deals, the company has seen significant hits to its bottom line.
- Sapa acquired a 7.94% stake in Indra, largely through financial derivatives involving third parties.
- Goldman Sachs and ING stepped in as the primary financiers for these moves.
- By the end of last year, Sapa faced about 410 million euros in debt repayment obligations.
- On top of that, these financial instruments trimmed their potential profits by roughly 250 million euros.
Ultimately, Sapa’s complex investment structure has cost the firm about 660 million euros in total earnings.