May 12th, 2021
Tikehau Capital announces the launch of a new initiative in partnership with
DWS Group in the United Kingdom
As part of their strategic alliance, Tikehau Capital will partner with DWS Group on a growth initiative to implement an investment strategy for small to medium-sized defined benefit pension schemes. This strategy will aim to provide a solution of secured income assets1 ("SIAs"), including infrastructure debt, real estate debt, direct lending, asset-backed securities, collateralized loan obligations and leveraged loans.
Since Tikehau Capital's participation in the IPO of DWS in March 2018, and the two parties' strategic alliance agreement established later that year, both asset management groups have continued to work together to identify and develop collaborative business opportunities.
The launch of this new strategy meets the objective of both groups to align their respective expertise in alternative investing and offer bespoke financing solutions to companies.
Over half of UK defined benefit pension schemes are in deficit, with insufficient assets to meet their liabilities2. This new solution will aim to offer these schemes enhanced security of income through a diversified private and structured credit solution where diverse SIAs are combined.
For small and mid-sized defined benefit pension funds, which may have been restricted from investing in individual asset classes due to minimum size or governance requirements, this latest solution offers the opportunity to invest in SIAs. SIAs aim to offer stable long-term returns due to the contractual nature of asset cashflows, the expected resilience of the underlying assets to different economic cycles and the quality of underlying collateral.
Frédéric Giovansili, Deputy CEO of Tikehau Investment Management, declared:
"We are delighted to work in partnership with DWS to launch a solution for small to medium sized pension funds which combines our expertise in direct lending and leveraged loans. This new investment strategy meets the objective of both DWS and Tikehau Capital to align our respective expertise in alternative investing and to offer bespoke financing solutions and sources of secure income to institutional investors."
1Secured income assets are often debt instruments with a contractual right to receive income and capital at pre-specified dates. For this reason, they are expected to deliver a predictable income stream. They are also typically secured against collateral. Examples include commercial real estate debt secured against property and infrastructure debt secured against an infrastructure project. The term "secured" does not constitute a guarantee of income or returns.
2 PPF7800 Index31 January 2021
ABOUT TIKEHAU CAPITAL
Tikehau Capital is a global alternative asset management group with €28.5 billion of assets under management (at 31 December 2020).
Tikehau Capital has developed a wide range of expertise across four asset classes (private debt, real assets, private equity and capital markets strategies) as well as multi-asset and special opportunities strategies.
Tikehau Capital is a founder-led team with a differentiated business model, a strong balance sheet, proprietary global deal flow and a track record of backing high quality companies and executives.
Deeply rooted in the real economy, Tikehau Capital provides bespoke and innovative alternative financing solutions to companies it invests in and seeks to create long-term value for its investors. Leveraging its strong equity base (€2.8 billion of shareholders' equity at 31 December 2020), the firm invests its own capital alongside its investor-clients within each of its strategies.
Controlled by its managers alongside leading institutional partners, Tikehau Capital is guided by a strong entrepreneurial spirit and DNA, shared by its 594 employees (at 31 December 2020) across its 12 offices in Europe, Asia and North America.
Tikehau Capital is listed in compartment A of the regulated Euronext Paris market (ISIN code: FR0013230612; Ticker: TKO.FP).
For more information, please visit: www.tikehaucapital.com
Tikehau Capital: Valérie Sueur - +33 1 40 06 39 30
UK - Prosek Partners: Henrietta Dehn - +44 7717 281 665
USA - Prosek Partners: Trevor Gibbons - +1 646 818 9238 email@example.com
SHAREHOLDER AND INVESTOR CONTACT:
Louis Igonet - +33 1 40 06 11 11
This document does not constitute an offer of securities for sale or investment advisory services. It contains general information only and is not intended to provide general or specific investment advice. Past performance is not a reliable indicator of future earnings and profit, and targets are not guaranteed.
Certain statements and forecasted data are based on current forecasts, prevailing market and economic conditions, estimates, projections and opinions of Tikehau Capital and/or its affiliates. Due to various risks and uncertainties. actual results may differ materially from those reflected or expected in such forward-looking statements or in any of the case studies or forecasts. All references to Tikehau Capital's advisory activities in the US or with respect to US persons relate to Tikehau Capital North America.
Tikehau Capital SC published this content on 12 May 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 12 May 2021 08:51:01 UTC.