CapMan has acquired a majority stake in German real estate debt specialist Caerus Debt Investments, expanding its offerings to include private real assets debt.
CapMan said it has agreed to acquire a 51% interest in Caerus from its current shareholders for €4m, with an additional payment of up to €2.6m in cash depending on certain targets being met.
Michael Morgenroth, founder and CEO of Caerus, will retain a 49% ownership through his holding company Momo Beteiligungs.
Caerus was founded in 2012 as one of the first real estate debt investment managers in Germany. The company offers real estate debt financing across nearly all real estate segments with a focus on the DACH and Benelux region.
CapMan is a Nordic private asset manager with €6.4bn in assets, investing across real estate, infrastructure, natural capital and companies. Through the Caerus transaction, CapMan said it is creating a new real asset debt investment business that complements the existing real estate, infrastructure and natural capital investment units.
Once the deal is finalised Morgenroth will be appointed to CapMan’s management group as managing partner for the newly created real asset debt investment unit.
Pia Kåll, CEO of CapMan, said: “This is a significant step for CapMan that further strengthens our focus on real asset investments and expands our presence to Germany. Real asset debt is a natural addition to our existing offering and an area where we see increasing demand and investor interest. I’m impressed with Caerus’ extensive experience in the area, and excited to join forces with founder and CEO Michael Morgenroth and his team.
“They have a demonstrated ability to deliver sustainable returns to their investors over the cycles and an entrepreneurial mindset to developing their business. These are values that align with those of CapMan perfectly.”
Morgenroth said: “The whole Caerus team is thrilled to partner with CapMan and look forward to this next chapter. CapMan’s platform and strong presence in the Nordics especially within real estate provides us access to asset management resources and local market understanding that offer interesting expansion opportunities.
“At the same time, we can support CapMan’s investment teams with local knowledge of the DACH and Benelux regions. By pooling our expertise, we are further expanding our market position in continental Europe and enabling our clients to benefit from this stronger market presence.”
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