Opportunistic Electra buys up debt positions

Electra Partners purchased a portfolio of second lien and mezzanine debt positions in five European companies for £30 million (€38 million; $49 million), a “significant discount to face value”, the firm said. The majority of the debt will mature within the next three years. “The portfolio provides a healthy yield and we expect that this, combined with purchase discount, will generate returns comparable to those achieved on equity investments,” the firm added. One of the debt positions is in UK caravan park operator Park Resorts, meaning Electra’s exposure to the company has risen to £69.8 million following earlier acquisitions from Lloyds and RBS.