02 April, Bebeez
Fondaco Italian Loans Portfolio Fund, the fund dedicated to investments in Italian credits backed by commercial and residential real estate, performing as well as non-performing, managed by Fondaco sgr, has announced the first closing for funds raised amounting to 140 million euro distributed among 13 Italian institutional investors.
The fund was launched one year ago, and it might reach 150 million by the end of March, including the conclusion of the decisional process of two other big Italian institutions, bringing Fondaco to the second phase of funding, dedicated to international investors. The final objective is 400 million euro, while the net target yield is over 10% and the fund duration is 6 years with quarterly coupon.
The Fondaco partner for this project is CarVal Investors, a company operating in distress debts. The company will invest directly in the fund and it will co-invest all the Fondaco transactions through its funds following the same strategy. CarVal has over 30 years’ experience and investments for more than 103 billion dollars for over 5,300 transactions in 79 countries. The average returns obtained by CarVal following this same strategy in Europe in the last 10 years has been over 16%.
The Fondaco dedicated team working on this project is very active at local level, and it’s in touch with more than 100 banks to identify, assess and select the best opportunities to offer to investors.
The Fondaco sgr Ceo, Davide Tinelli, explained that the fund “is taking a great opportunity: the execution sale by Italian banks through a big international player with a long and successful track record. The partnership between Fondaco and CarVal allows combining the international best practices with the knowledge of the Italian financial market. The investments are made only if they fit in the CarVal global portfolio, after having been compared with the best opportunities at a global level”.
Translator: Cristina Ambrosi