Our special situations strategy is designed to take advantage of the growing number of companies running into more challenging situations. We use an asset-based lending approach where collateral in the form of hard assets is at the core of each lending decision.
In 2017, we entered into an exclusive agreement with a top-tier bank in Germany to provide DIP loans – i.e., super-senior ranking debt facilities that traditionally price in the low teens. This agreement has made us a market leader in this type of loan, and we expect a significantly increasing deal flow for years to come as default rates pick up.
Our special situation strategies are comprised mainly of senior secured loans to mid-sized companies that are undergoing a restructuring, turnaround, or other type of corporate transition. Our geographical focus is on Switzerland, Germany, and neighbouring European countries. These loans are sourced and negotiated directly. Patrimonium is often the sole lender, and we typically require tangible, ring-fenced assets as collateral.
Private Credit
Quarterly dividend payments
EUR 400m
31 Dec. 2010
EUR
Asset-based lending to middle-market companies
10%-12%
Institutional Investors
Luxemburg SICAV SIF SCA
No leverage
Dividend paying shares
Closed-end; no cash liquidity
Patrimonium Asset Management AG
RBC Investor Services Bank SA
RBC Investor Services Bank SA
CSSF (Luxembourg)