Apollo Global Management is poised to complete the second-largest transaction in Portugal this year, with the deal expected to close in the next few weeks.

fidelidade 925x578

Apollo set to pay €425m for Portuguese portfolio

According to a news report by PropertyEU's sister publication EuroProperty, the US public equity firm is paying €425 mln for a portfolio of 277 properties owned by Portuguese insurance company Fidelidade which was put up for sale through CBRE late last year.

The acquisition is the biggest in the country since Blackstone's 'Rio Tejo' sale of four shopping centres for €850 mln in February.

Sources said that the Fidelidade portfolio attracted 11 firm bids, mainly from international investors, some teaming up with local partners. They saw it as a value-add opportunity to redevelop some of the properties.

The majority of the assets are residential, with some office and commercial. Just over half of the portfolio is in Lisbon. JLL advised Apollo.

PropertyEU reported in January that the Portuguese insurance company - which is majority owned by Chinese investor Fosun - was selling a mixed-use portfolio with a price tag of €400 mln to take advantage of the positive market momentum.

Fidelidade is looking to re-invest the proceeds in larger buildings with a more diversified mix of assets.