CEPAL HELLAS AND RESOLUTE ASSET MANAGEMENT GROUP:
STRATEGIC AGREEMENT FOR REAL ESTATE ADVISORY AND ASSET MANAGEMENT JOINT VENTURE IN GREECE
Cepal Hellas and Resolute Asset Management Group to combine Greek real estate operations to create best-in-class market leader
Cepal Hellas and Resolute Asset Management Group are very pleased to announce that they have reached a strategic agreement to merge their Greek real estate operations. The joint venture, under the name Resolute Kaican Greece S.A. (“RKG”) will consolidate the market leadership of the parties in the Greek real estate servicing, asset management and advisory space.
RKG will advise on and manage real estate for a broad range of clients, including banks, loan servicers, private equity and institutional investors and Greek government entities and institutions. Also included in the JV are Resolute Greece’s existing bank and investor clients, as well as the real estate assets associated with the €28 billion portfolios serviced by Cepal Hellas, and others.
RKG will exploit the specialized know-how of Resolute in the real estate and real estate NPL segments, market leading technology provided by Resolute’s technology affiliate, Recognyte, and Cepal’s high-tech e-platform and experience in the management of non-performing exposures (NPEs). The joint venture will also benefit from the state-of-the-art agency and property services capabilities of REInvest Greece, a controlling stake in which will be transferred from Resolute to RKG.
The JV will focus on delivering results in:
1. The management, value enhancement and monetization of portfolios of granular real estate assets;
2. Asset management and value creation for large commercial real estate assets;
3. Underwriting, analysis and advisory support in relation to real estate collateral of both performing and non-performing loan portfolios.
The combined capabilities and teams contributed to the JV not only benefit from innovative, cutting-edge approaches developed by the shareholders in their broader international operations but also from a scale which is unequalled in the Greek market.
Mr. Theodore Athanassopoulos, Chief Executive Officer, Cepal Hellas commented: ”Since the beginning of our operations, it was clear that successful management of the portfolios serviced by us requires the ability to understand, manage and monetize very significant numbers of real estate collateral assets. With RKG we will establish a leading specialized, independent Real Estate Servicer able to deliver on a very large scale with institutional standards. We are confident that RKG by relying on both Cepal’s financial strength and knowhow and Resolute
Group’s best practices and procedures, will lead the emerging Greek real estate management services market whilst contributing decisively to the effective management of Cepal’s NPL portfolios.”
Bill Hancock, Managing Partner of Resolute Asset Management Group, stated: “The Joint Venture will allow us to apply sophisticated internationally proven techniques of the two shareholders to both performing and non-performing assets and portfolios in Greece. With a common focus on maximizing the financial performance of real estate, we expect to transform the Greek market, to the benefit of our clients. Our clear goal is to make RKG the most effective independent adviser and real estate manager in Greece.”
The agreement is expected to be completed by the end of 2022 subject to the receipt of merger clearance.
Cepal was advised by UBS Europe SE as financial advisor, PWC as tax advisor and Potamitis Vekris Law Firm as legal counsel.
Resolute was advised by KPMG and Interpath as financial advisors and Norton Rose Fulbright as legal counsel.
About Cepal Hellas
Cepal Hellas, which launched its business activities in 2017, is a leading and pioneering Credit Management Servicer in the Greek market. In December 2020, Cepal implemented one of the largest carve-outs in the Greek market by incorporating 800 new employees in its headcount in 24 locations all over Greece. Cepal manages NPL portfolios amounting to €28 bn, the majority of which come from Alpha Bank and currently employees 1.100 people.
About Resolute Asset Management Group
Resolute Asset Management is a global real estate asset management and advisory firm with over 200 employees and offices in 12 countries across Europe and the Middle East. Resolute has been present in the Greek market since 2014. Resolute successfully combines real estate investment, banking, and financing expertise to deliver innovative and effective asset management advisory and portfolio management solutions to the banking and finance, private equity, institutional and public sectors.