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Davidson Kempner buys ECS asset portfolio

Davidson Kempner buys ECS asset portfolio

The decision is made. The Davidson Kempner fund won the dispute to buy ECS' restructuring funds from the bank, a portfolio of around 600 million euros that includes luxury hotels such as the Conrad Algarve, Cascatas Golf Hilton and the NAU group.

According to information gathered by the ECO, the consortium formed by Bain and Cerberus, which also submitted a proposal to buy these restructuring funds, was left behind.

Once the buyer has been chosen, banks and investors now proceed to exclusive negotiations, namely for bank financing that can be greater than 60% of the purchase price. The operation should only close in the first half of 2022.

The portfolio initially had an estimated value of around 900 million euros, but it will now be lower, after having removed 7 properties from the set, with a value of around 300 million euros, now including 23 real estate assets, as stated by the Economic in September.

Novo Banco, Millennium bcp, Caixa Geral de Depósitos (with the largest exposures in this portfolio), Santander and Oitante are involved.

In 2019, Davidson Kempner had already bought the bad debt Nata 2 portfolio from Novo Banco, for 3,300 million euros.

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