Prestige Funds launches new £400m agricultural direct lending fund

By Daniel Lanyon on 21st November 2018

Alternative Credit

The new portfolio is aimed at investing in loans in the agricultural industry in the UK and Ireland.

Prestige Funds launches new £400m agricultural direct lending fund

Prestige Funds is planning to launch a new direct lending fund focusing on agricultural and SME businesses in both the United Kingdom and the Republic of Ireland.

The new portfolio, named Prime Alternative Finance (PRIME), will launch in November to external investors as a Luxembourg based, SICAV SIF operating with monthly liquidity and managed by Prestige Capital Management in Malta. It will be targeting returns of 5-7 per cent per annum and has no performance fee.

It is Prestige’s first fund to invest in the Republic of Ireland as well as the United Kingdom. Prestige’s existing direct lending funds have focused entirely on the UK to date but several team members were previously employed by Allied Irish Bank.

The fund will provide agricultural / SME loan finance for ‘on farm energy’ related projects as well as asset finance related opportunities.

The firm estimates £300-400m of potential deal flow opportunities over the next several years.

Craig Reeves, Founder of Prestige, said: “The critical farming sector in the British Isles is an important market for secured lending, with private debt replacing commercial bank lending in many areas of the agricultural economy."

“On Farm Energy is also playing a key role in helping farms to adjust to higher energy costs, reduce waste and generate alternative income while also indirectly supporting governments in the achievement of their future clean energy objectives.”

 

Comments

AltFi London Summit 2019

The UK's oldest and best-loved conference for fintech and alternative finance insiders returns for its sixth iteration at etc.venues. We'll showcase the best of the UK's digital banking, online lending and digital wealth sectors through a series of uniquely in-depth discussions and presentations. Open Banking will be in full flight, just over a year on from its launch, and will be a central theme at the event.

18th March 2019


More like this:

P2P fund eyes dividend growth

30th November 2018
Daniel Lanyon

Private debt market grows to record size

7th February 2018
Daniel Lanyon

European private debt market hits $200bn in assets

28th November 2018
Daniel Lanyon