Almacantar’s owners have instructed Rothschild to find a shareholder for the £2bn business to help fund a significant investment drive in London.
The company’s owners, which include cornerstone investor Exor, the investment arm of Italy’s Agnelli family and other private investors, have mandated the investment bank to find a shareholder to fund a significant investment drive, potentially doubling the size of the business.
It is understood the owners would also consider a potential sale of the business.
Founded in 2010, Almacantar’s London portfolio includes 125 Shaftesbury Avenue, WC2; Marble Arch Place, W1; Centre Point, W1; CAA House, WC2; and One and Two Southbank Place, SE1.
Last summer, Almacantar launched a strategic review of its assets, including a potential £275m sale of WeWork-let 125 Shaftesbury Avenue, WC2, and a possible refinancing of some of its assets.
Chief executive Mike Hussey said in July that an asset sale or refinancing could be used to “restock” the company’s development pipeline, releasing liquidity for the potential redevelopment of CAA House on Kingsway, WC2, which could start following a lease expiry in December 2019. A £60m Crédit Agricole and Sumitomo Mitsui loan secured against the property matures next June.
The business is hoping to attract an investor who identifies the opportunities in the capital resulting from political uncertainty. Writing as a guest editor of EG with Frogmore chairman Paul White in December, Hussey said: “Buried in the ‘uncertainty’ that ensued the past 18 months, and this year in particular, are many issues that should be relabelled ‘opportunities’.”
All parties declined to comment on Rothschild’s instruction.
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