(Alliance News) - doValue Spa announced Tuesday that it will increase assets under management through the contribution of UTP loan portfolios and a stage 2 component for a gross book value of EUR300 million.

The contributions will be made by three leading Italian banks into the Efesto Fund managed by Finint Investments where doNext Spa - a wholly owned subsidiary of doValue - acts as sole and exclusive servicer.

The portfolios mentioned are mainly made up of secured and/or guaranteed positions by Mediocredito Centrale, with a significant component of stage 3 loans of very recent vintage, classified as stage 2 at the time of valuation.

"This is a contribution that reinforces the path of expansion and diversification of assets under management undertaken by doValue with the 2024-2026 plan, which envisages growth on asset classes other than nonperforming loans," reads the company's statement.

"The loans in question will, in fact, place doValue in the best conditions to demonstrate its know-how and added value also on granular and performing loan types, which offer significant growth opportunities given the low degree of outsourcing by the Italian banking system," the note continues.

doNext will manage in its role as servicer the assigned positions in order to safeguard the debtors' business continuity and the value of the underlying real estate assets. Completion of the contribution is, as of today, subject to the fulfillment of certain standard conditions for transactions of this nature and is expected by the end of October 2024.

The Efesto Fund, launched in 2020, is one of the main initiatives for the UTP asset class in Italy. To date, including these latest commitments, it has reached approximately EUR2.1 billion in contributions from 15 Italian banks and financial institutions representing participants in the Fund. Efesto is focused on the revitalization of SMEs and real estate assets with turnaround potential and has also invested, over the past few years, in instruments with underlying leasing and other-than-corporate exposures, enabling banks to deconsolidate related assets.

doValue closed Tuesday in the red by 0.4 percent to EUR2.03 per share.

By Chiara Bruschi, Alliance News reporter

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