Eurocastle Investment Limited (ECT:NA) is a publicly traded closed-end investment firm that focuses on investing in performing and non-performing loans and other real estate related assets in Italy.
Our primary investment areas are described below:
Italy is a compelling story for us. It has sustained a protracted recession with on-going political uncertainty and is currently experiencing increased regulatory pressure on its banks. In addition, there are high barriers to entry. Leveraging our manager’s unique expertise and long-term presence in Italy, we see a number of attractive investment opportunities in Italian performing and non-performing loans (“PL & NPL”) and other real estate related assets with potential to generate attractive risk-adjusted returns with an opportunity to grow dividends over time.
Since May 2013, Eurocastle has invested over €500 million in Italian investments, which include doBank (UniCredit's former "bad bank"), FINO acquisition, pools of performing and non-performing loans with a gross book value (“GBV”) of approximately €25 billion as well as opportunistic investments in Italian Real Estate Fund units.
The investments are in line with our target returns, and are expected to generate net IRR in a range of mid-to-high teens.