UTP Restructuring, is a closed-end, reserved alternative investment fund, composed of the “Loans Sector” and the “New Finance Sector”.
The Fund will be established through a single name contribution by major Italian banks of credits of any nature – “Stage 2”, “Probable defaults” or “Past due” – versus Italian mid-large corporates in selected industries on the basis of Arrow Global’s track-record. The fund may also support restructuring processes by providing direct financing to companies.
The aim of the fund is to maximise the recovery rate of credits in the medium-long term by promoting and supporting restructuring and relaunching operations of companies, also through the provision of new finance for the companies invested in.
UTP Restructuring comes from Sagitta’s positive experience in managing funds dedicated to NPE credits, in which major Italian banks and international investors have participated.
SGT ACO Direct Lending (Italy) Fund is a credit FIA (Fund of Alternative Investments) reserved for institutional investors.
The fund’s strategy, which has raised a capital of 100 million euros, is to support companies facing temporary financial difficulties during debt restructuring or recovery procedures, including bankruptcies, through the provision of New Finance in the form of direct financing.
The new finance provided can be utilized by debtor companies for repaying creditors who do not adhere to the recovery/restructuring plan, as well as for financing investments and/or working capital. All these applications aim to preserve and revitalize the company’s operations, making it a valuable source, particularly during a period of strong credit crunch, to unlock value from companies experiencing temporary financial crises.
The Fund started operations in March 2021. Exclusive advisor of the Fund is Europa Investimenti, which has a consolidated know-how and track-record of investment in the distressed assets sector.
The Fund has a multi-fund and multi-asset structure therefore it has a wide flexibility of investment in credits (of any nature), real estate, financial instruments, securitisations, as well as the possibility of intervening in the area of debt restructuring operations, pre-bankruptcy composition agreements and bankruptcies and in the context of special situations.
The investment strategy is aimed at obtaining a net return for investors of 13% (IRR target) in a total period of 8 years, of which the first three dedicated to investments and the following ones (max 5) to the realization of assets.