Alantra’s corporate direct lending strategy started in 2015 with the launching of Alteralia I, a €140m debt fund which has been fully invested in 15 portfolio companies. In 2018, we launched Alteralia II, a €205m pan-European debt fund. The objective of the direct lending funds is to provide long-term flexible financing to European small to mid-sized companies mainly for capex investments, acquisitions and debt refinancings.
Our loans, tickets between €8m to €40m, are generally up to 7-year bullet (having all principal repaid at the end of the life of the loan) can be senior, unitranche or subordinated (mezzanine). This loan structure minimises the companies’ debt service during the early years (as they only have to serve interests) allowing them to use the excess cash to accelerate growth. We support both private equity funds (LBOs) and corporates (sponsorless) covering all sectors except for financial services and real estate.
Alantra’s Real Estate debt strategy is aiming to provide long-term flexible financing for real estate companies, for all type of asset-classes in Continental Europe, excluding residential development.
We provide financing for the acquisition of real estate assets, capex (refurbishments/repositioning), refinancings, etc. with a ticket range between €5m – €25m, and up to 80% LTVs.
Our loans can be senior or subordinated (mezzanine), bullet (having all principal repaid at the end of the life of the loan), with a tenor ranging from 12 months to 6 years and with cash and/or PIK (capitalised) interests adapted to the needs of the companies and their business plans. We cover all type of commercial real estate assets including offices, retail, hotels, logistics, student housing, care homes, co-living and other alternative real estate assets.
We offer flexibility, transparency, swift execution and a local investment decision-making process.
Our first fund, Alteralia Real Estate Debt, FIL (“Alteralia RED”), entered into the EIF (European Investment Fund) guarantee program in April 2021, which has been provided with the ultimate purpose of enhancing access to financing for Eligible Final Recipients and which will allow Alteralia RED to benefit from a guarantee on Eligible Final Recipient Transactions that will partially cover the credit risk of the transaction.
Alantra Special Opportunities offers tailored and flexible financing solutions to sound Iberian midmarket companies across all sectors in complex and/or time-sensitive situations. We combine debt and equity kickers to adapt to each company’s specific financing needs and cash flow profile. Our investment horizon is very flexible ranging from six months to five years, and our ticket size ranges from €10m to €50m. We are focused on capital preservation and downside protection. However, we do not aim to own or control the companies we invest in, which makes our financing solution an attractive alternative to injecting new equity:
- Temporary solution to temporary issues
- Highly accretive to shareholders
- Existing shareholders retain the political rights and are not required to contribute new money or open up the capital to third parties
Investment strategies:
- Sound companies in complex situations: growth, M&A, LBOs, MBOs, CAPEX, WC, dividend recaps, minority squeeze outs and other
- Distressed/stressed: finance viable businesses with non-sustainable capital structures or liquidity issues
- Bridge loans
- Asset backed: real estate, receivables, etc.
