Intrum has entered into an agreement to acquire CAF S.p.A (CAF), the third largest servicer of non-performing loans in Italy In addition, Intrum has acquired a large, diversified debt portfolio serviced by CAF.
The seller of CAF and of the debt portfolio serviced by CAF are affiliates of Lone Star Funds, a global private equity firm. The total purchase price on a cash and debt free basis for CAF and the debt portfolio is about EUR 200 million.
“By acquiring CAF and the debt portfolio serviced by CAF, Intrum becomes one of the market leaders in the important Italian market, where we see considerable potential for strong growth in the coming years. CAF has a very good track record of profitable growth through long-standing client relationships and broad experience in collecting in secured and unsecured debt with consumers and SMEs. By combining the acquisition of CAF with a large portfolio investment, we establish our balanced business model for Intrum in Italy, further strengthening us as the undisputed market leader in the European credit management industry” says Mikael Ericson, President and CEO of Intrum.
CAF is one of a few rated credit management companies in Italy enabling it to service exposed banks and certain securitization vehicles for non-performing loan collection. CAF has a team of about 200 people, primarily involved in loan servicing, in three locations in Italy. The service business, excluding returns on investments in portfolios, is expected to have revenues of about EUR 30 million with an EBITDA of about EUR 11 million in 2018.
The debt portfolio acquired is diversified and consists of a large number of debts with consumers and SMEs, being both unsecured and secured debt.
The acquisition is expected to be completed during late 2017. CAF will be a part of Intrum’s Western & Southern European region.
The investment will be financed by Intrum’s available cash and credit facilities.
For further information, please contact:
Mikael Ericson, President & CEO
Tel: + 46 8 546 102 02
CFO Tel: +46 8 546 102 02
Louise Bergström, Head of Investor Relations
Mobile: +46 73 158 47 88
This information is information that Intrum Justitia AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out below, at 01.20 CET on 2017-12-03.