Unicredit subsidiary iii-Investments is building on its recent launch of a dedicated debt fund by launching a second debt fund, and has already raised €100m in its first closing, saying that it intends to increase the equity total to €250m.
According to Reinhard Mattern, CEO of iii-Investments, the pooled fund expects to make its first debt acquisitions soon, parallel with investments for its first debt fund, a Spezialfonds set up at the end of last year on behalf of a German pension fund.
Targeted are loans secured on primarily German real estate, but other European regions will also be considered – the preferred segment is low-risk debt, but some medium-sized risk will also be mixed in, on investment sizes of €15-40m.
Mattern commented on the growing interest in the segment: “Our launch of a second debt fund within just six months provides evidence of the large demand for this new type of product - simultaneously, we are increasing our lead over the rest of the field in this young area of business,” he said. “The principal argument for investors in this context is increasingly the trusted and tried-and-tested vehicle of the German special fund.”