Castlelake, a global alternative investment manager specializing in asset-based private credit investments, entered into a new joint venture agreement with Samhällsbyggnadsbolaget i Norden AB (“SBB”), a social infrastructure property company in the Nordic region, and will provide approximately €489 million/SEK 5.7 billion ($537.5 million) of financing.
SBB will use the loan to recapitalize a portfolio of 92 social infrastructure assets across Sweden with an estimated market value of SEK 9.7 billion ($914.7 million) as of March 31, 2024.
“We are pleased to build on our existing relationship with SBB and provide a new financing solution to help it continue optimizing its asset portfolios and balance sheet,” Eduardo D’Alessandro, partner, global real assets at Castlelake, said. “The transaction is another example of Castlelake’s relationship-oriented approach and the asset-based private credit solutions that it offers to institutional borrowers in Europe.”
The joint venture follows one formed by Castlelake and SBB in February 2024, in which Castlelake agreed to provide approximately €464 million/SEK 5.2 billion ($490.4 million) of financing to SBB Infrastructure AB.
“We believe this additional transaction with Castlelake further demonstrates the value of SBB’s asset portfolio with its strong and stable occupancy rates and demographic demand,” Leiv Synnes, CEO of SBB, said. “We are pleased with this next step in our relationship with Castlelake and will utilize this financing to continue to execute our strategy.”
DLA and CBRE advised Castlelake on the transaction, which is subject to customary closing conditions.
