Legal & General’s (L&G) asset management division has expanded its private credit portfolio by investing an additional £85m (€100.1m) in Anchor, a provider of specialist housing and care for older adults in England.
The funding from L&G’s institutional retirement business will help Anchor develop new affordable, energy-efficient homes, with plans to build at least 500 homes per year over a 10-year period.
Anchor is the leading nonprofit provider of housing and care for older adults in England, managing a portfolio of more than 35,500 social rented homes, 12,500 homeownership properties and 120 care homes.
L&G’s additional investment in Anchor follows a previous funding round completed in February of this year, bringing its total private credit investment in Anchor to £100m. The two companies have a long-standing partnership dating back to 2014.
Steven Bolton, head of corporate private credit in Europe at L&G’s asset management division, said: “We’re really pleased to further strengthen our partnership with Anchor, helping them to create more homes across the UK for those in later life.
“We believe institutional investment can play an important role in helping to address societal challenges, and organisations like Anchor provide an enormous contribution in terms of social value.”
Amanda Holgate, Anchor’s CFO, said: “There is a strong underlying demand for older people’s housing and care. Our development strategy is concentrated where the need is greatest and the supply least, namely social and affordable housing, extra care housing and care homes.
“We are pleased to be working with L&G so more people can have a home where they love living in later life.”
Scott Douglas, capital markets director at Centrus, said: “We are delighted to have arranged the £100m bilateral shelf facility between L&G and Anchor, and are pleased to see the relationship go from strength-to-strength based on strong alignment of core values and objectives.
“The additional £85m investment takes L&G’s total commitment to £100m, which will be used to support the delivery of energy- efficient, affordable homes for those in later life.”
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