GROSVENOR FUND’S £110M LLOYDS DEAL
Grosvenor Fund Management UK announced earlier this week the completion of a new £110m debt facility with Lloyds TSB Corporate Markets for its £400m Grosvenor London Office Fund. The three-year deal replaces the existing facility with Lloyds Banking Group, which expires this month. The fund’s loan-to-value ratio is low at about 25 per cent and the interest cover ratio is extremely comfortable, Grosvenor Fund Management said. The fund invests in high quality office buildings in prime central London, providing secure income with rental and capital growth potential. It currently owns four Grade A assets; 40 Grosvenor Place, Almack House, Belgrave House and 10 Grosvenor Street. The fund is due to be wound up in December 2012, but Grosvenor is in talks with investors about extending its life. A second central London office fund is also under consideration.
CULLEN CAPITAL ARRIVES IN EUROPE
US value and income specialist Cullen Capital Management entered the UK and European markets this week, making two of its flagship value equity strategies available to investors as Dublin-domiciled Ucits funds. Jim Cullen, president, portfolio manager and founder of Cullen Capital Management, said that this marked a strategic move for the firm’s long-term business plans. The funds will launch on 1 October and will be available in euro, sterling and dollar denominations to institutional, high net worth and retail investors.
PIMCO LAUNCHES UK RETAIL FUND RANGE
Global investment management firm PIMCO this week launched its UK retail fund range PIMCO Select in a partnership with life insurance and pension firm Aegon. The tie-up will give UK retail investors direct access to PIMCO’s investment expertise via savings and insurance products and defined contribution (DC) schemes offered on Aegon’s investment platform. Pimco said the move marked the first in a series of strategic tie-ups for PIMCO Select. The funds launched as part of the PIMCO Select fund range will mirror those available on PIMCO’s existing Dublin-based Global Investor Series platform: the PIMCO Select Global Bond Fund and the PIMCO Select UK Corporate Bond Fund.