- Partnership creates ability to provide debt financing across full loan spectrum
Cain International, the diversified real estate investment company, has partnered with leading real estate lender Fortwell Capital, acquiring a majority stake in the business, and providing £400m of investment capital to the company.
The deal represents one of the largest injections of capital into a UK alternative real estate finance firm, fund or platform so far this year.
Fortwell Capital has lent over £1.2bn since it was established in 2011. In addition to its £400m investment in Fortwell Capital, Cain International has also acquired a portfolio of development loans providing total facilities of c. £80m, which the Fortwell team will continue to manage.
The partnership will enable Fortwell to continue to expand its loan book. Fortwell’s strategy sees it work across multiple sectors, in addition to being the lender of choice for residential projects. Fortwell will also focus on expanding its reach to a range of UK cities and locations, whilst building on its established reputation in the London and South East markets.
The news follows on from the announcement in April that Fortwell Capital’s senior management team, consisting of Executive Director Dan Smith and Managing Director Arthur Jennings, had undertaken a management buyout of the business from Christian Candy’s CPC Group.
Cain International is a diversified real estate company investing in both equity and debt in the UK, the USA and Europe. Cain International has invested over $3bn since its inception in 2014. Cain International works across three distinct work streams – real estate equity, real estate debt and investing directly in emerging or established platforms or companies.
Dan Smith, Executive Director, Fortwell Capital said: “Our partnership with Cain International is a huge endorsement of Fortwell Capital’s success in positioning the business as a leading alternative real estate lender in the UK. It will propel us forward, providing the funding to allow Fortwell to continue to finance and work with developers to unlock complex projects throughout the market cycles.”
John Cole, Managing Principal at Cain International and Head of the firm’s global debt business said: “Fortwell Capital is an extremely well run and successful specialist debt provider, with a proven track record of success. Joining forces enables us to continue offering larger, more complex financings through Cain International, while also entering the specialist market for small and medium sized loans under the Fortwell brand. Together, we will now provide access to real estate finance for developers across the full spectrum of loan sizes and products.”
Fortwell Capital, which will be based at Cain International’s offices, will continue to operate under the Fortwell brand.