The Back2Bonis Fund, Italy’s first fund managing UTP multi-originator real estate
loans, thus increases its assets under management, including leasing files,
confirming its top ranking in Italy and becoming one of Europe’s biggest funds, with
€850 million loans managed
AMCO acts as Master and Special Servicer, while Prelios Group acts as real estate
partner and fund manager through Prelios SGR
The Cuvée project enters its second phase, managed through the innovative multi-originator platform for management of UTP (Unlikely to Pay) loans in the real estate sector, now extended to real estate leasing files, a truly new feature in the market. Cuvée started a year ago thanks to AMCO and Prelios Group, under an agreement with Banca Monte dei Paschi di Siena, MPS Capital Services Banca per le Imprese, UBI Banca and Banco BPM.
With a new contribution of about €400 million in terms of GBV, the total amount of loans managed by the platform has grown to about €850 million, confirming its top ranking in the Italian market and making the Back2Bonis Fund one of Europe’s most important credit funds specializing in Unlikely to Pay loans in the real estate sector.
The Back2Bonis Fund managed by Prelios SGR allows participating banks to benefit from potential recovery of the value of these files through shares held in the fund. It also facilitates the turnaround process for debtor companies, also thanks to the new financing issued by the Fund, allowing for a proactive management of the loans and the underlying assets.
Through this new deal, Intesa Sanpaolo, UniCredit Leasing and Banco Desio become Fund shareholders along with Banca Monte dei Paschi di Siena, MPS Capital Services, UBI Banca, AMCO and Banco BPM (the “Participating Banks”). More specifically, files of about 60 debtors totaling approximately €400 million have been conferred to the Fund. This second phase was brought about with a new securitization of loans and leases, together with Banca Finint purchasing unrevoked credit contracts.
In the platform, AMCO acts as Master and Special Servicer, while Prelios Group is Manager of the Fund and Real Estate Partner, as well as - following the inclusion of leases - Special Servicer managing only loans with underlying real estate leases.
The aim of the Back2Bonis Fund, which was set up at the end of last year with files of about 50 debtors totaling about €450 million, is to reach a portfolio of €1.5 billion under management with further contributions from other financial institutions.
Through this deal AMCO confirms its development capabilities in the management of non-performing exposures (NPEs), offering flexible, innovative solutions allowing banks to make the most of their credit exposure and promote corporates’ turnaround. Prelios SGR confirms its leadership in the asset management sector in Italy, offering innovative products ranging from real estate funds to credit funds and advanced structures such as multi-sector SICAFs and funds dedicated to impact investing projects. Prelios Group also combines, integrates and reinforces specific know-how in the real estate sector with UTP credit management to create synergies and improve the possibility of credit recovery.
Bain & Company supported the industrial part of the project, while Cappelli RCCD and Chiomenti took care of legal aspects, and F&C - Studio legale tributario dealt with tax matters, with the involvement of BonelliErede, Molinari e Associati and Giancarlo Catavello Avvocati; Studio Legale Tributario CBA acted as expert independent evaluator.