Avenue Capital Group to purchase Irish lending platform for €250m
Avenue Capital Group has agreed to purchase Pollen Street Capital’s interest in Irish development and bridging finance lending platform, Castlehaven Finance, for €250 million ($273 million).
With the deal, Pollen Street Capital will exit its investment in the platform, which it has held through its credit lending arms, P2P Global Investments and Honeycomb Investment Trust. Pollen Street Capital has provided around €385 million ($421 million) in financing to Castlehaven Finance since the companies partnered in 2016.
Avenue Capital said it will provide future funding lines to allow the Castlehaven platform to continue to grow.
Castlehaven Finance was founded in response to the need for an alternative lender in the residential development market as the Irish housing market began to recover in 2014, and the group has provided €580 million ($635 million) in financing to developers since.
“Having established ourselves in the new homes market, we look