9th Nov 2015 09:00
9 November 2015
Arrow Global Group PLC
Arrow Global expands European footprint with loan purchases in the Netherlands
Arrow Global Group PLC ("Arrow Global" or "the Group"), a leading European purchaser and manager of debt portfolios announces that, in line with the Group's European growth strategy, it has acquired a loan portfolio in the Netherlands with a face value of circa €173 million.
Highlights
· Acquired portfolio with a face value of circa €173 million (£122 million)
· Portfolio comprises mainly unsecured, paying and non-paying loans
· Purchase reinforces European growth strategy and represents an expansion of Arrow Global's footprint in the Netherlands
The purchase represents an expansion of Arrow Global's footprint in the Dutch market, following an initial €1 million pilot investment in June 2014. The Netherlands is an established market with the total value of NPLs estimated at €116 billion1, with regular portfolio sales by second tier banks and credit institutions in particular, and with relatively high levels of credit bureau data available.
The portfolio consists of mainly unsecured, paying and non-paying accounts at various stages of the recoveries cycle. In addition to delivering returns expected to be in line with Arrow Global's stated targets, the portfolio is also expected to provide significant levels of data that will help to inform future purchase decisions.
Tom Drury, Chief Executive Officer of Arrow Global commented:
"We are delighted to announce this purchase which we have been monitoring for some time. It extends our footprint in the Netherlands and reinforces the strength of our brand in European markets, something which is key to our continued growth.
"We believe the Netherlands is an attractive market for Arrow Global, both in terms of the scale and development of the market and the availability of credit bureau data. This portfolio is incremental to the £23.1m of our Q4 pipeline that we announced was in implementation on 12 October. We are confident it will perform in line with our target returns and we remain on track to deliver overall full-year results in line with our expectations."
1. Source: European Central Bank AQR spread sheets
For further information:
Arrow Global +44 (0)161 242 5896
Tom Drury
Robert Memmott
Alex Barnett
Instinctif Partners +44 (0)20 7457 2020
Mike Davies
Louis Supple
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