Arrow Global Signs Deal With CarVal, Makes Portuguese Acquisitions

LONDON (Alliance News) - Debt portfolio manager Arrow Global PLC on Wednesday said it has ...

Alliance News 1 April, 2015 | 9:06AM
Email Form

LONDON (Alliance News) - Debt portfolio manager Arrow Global PLC on Wednesday said it has formalised a partnership with CarVal Investors and made associated acquisitions in Portugal.

Arrow and CarVal have signed a five-year partnership to jointly originate Portuguese debt portfolio investments. Under the deal, Arrow will acquire Whitestar Asset Solutions, a loan servicing company based in Portugal, for EUR47.8 million from funds managed by CarVal.

The deal will also see Arrow acquire another Portuguese loan servicing company, Gesphone - Serviços De Tratamento E Aquisição De Dívidas SA, for EUR8.3 million, and will see it pay EUR37 million to acquire portfolios with a face value of EUR565.6 million.

"The acquisitions announced today reinforce Arrow Global's position as a market leader in Portugal with over EUR5.5 billion face value of assets under management, established franchises, a leading domestic servicing capability, experienced management teams and a strong pipeline for further portfolio purchases," said Arrow Chief Executive Tom Drury.

"By partnering with CarVal we strengthen our combined client offering, drawing on the skill and expertise of both organisations. Today's announcement sees both parties share servicing and origination activities. In addition we have also acquired one of Arrow Global's major Portuguese servicers, Gesphone," Drury added.

Shares in Arrow were up 1.4% to 251.25 pence on Wednesday.

By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance

Copyright 2015 Alliance News Limited. All Rights Reserved.

Email Form
Securities Mentioned in Article
Security Name Price Change (%) Morningstar
Rating
Arrow Global Group PLC 211.50 GBX -0.47 -
About Author Alliance News

Alliance News provides Morningstar with continuously updating coverage of news affecting listed companies.