Tikehau invests in Spanish debt deal

The firm is also planning the opening of an office in Spain later this year.

Tikehau Investment Management, the pan-European debt subsidiary of France-based Tikehau Capital, has provided financing to the infrastructure-focused firm Grupo Terratest.

Spain-based Terratest will use the financing for a recapitalisation. The financing consists of a €60 million unitranche facility. Additional terms could not be determined by time of publication.

The deal represents the third private debt transaction Tikehau has pursued in Spain. The firm previously provided financing to plastic fabrication company ELIX Polymers in September 2016 as well as IT firm Telvent in April 2015.

Carmen Alonso, head of Iberia for Tikehau, told PDI Spain is an important part of the firm’s European expansion plans. “We are looking to develop our presence in private debt in Spain,” she said.

The market is mature enough for private credit to play a role in financing, Alonso added. “We are finding great interest not only from financial sponsors but from corporates as well,” she said.

Tikehau has one private-debt focused individual based in Spain presently, but plans to open an office in Madrid in September. The firm is likely to build a team there similar to the handful of people employed by the firm in Italy, according to Alonso. The firm has much larger teams based in France and the UK.

In addition to private debt, Tikehau will also seek to add private equity and real estate personnel to its Spanish operation. Personnel focused on Tikehau’s open-ended fund products will also be based in the Madrid office once it opens.