Davidson Kempner Capital Management is selling Italian real estate asset management and credit servicing firm Prelios to X3 Group, a subsidiary of ION.

Established in 1990 in Milan, Prelios has more than €40bn in assets under management across non-performing loans and real estate funds.

Since investment funds advised by Davidson Kempner acquired the business in 2018, Prelios has grown its revenue from €100m to more than €300m, while improving profitability, Davidson Kempner said.