Italian real estate fund manager Fimit is considering merging its operations with Dea Capital's First Atlantic Real Estate asset management arm to create 'a leading European alternative real estate asset manager'.
Italian real estate fund manager Fimit is considering merging its operations with Dea Capital's First Atlantic Real Estate asset management arm to create 'a leading European alternative real estate asset manager'.
Fondi Immobiliari Italiani (Fimit) and Dea Capital said that they have agreed to begin a joint feasibility study for integration of their two businesses. The move would create a giant in the Italian real estate management and services industry, with over EUR 8 bn of assets and 19 funds under management, five of which are listed.
In the next weeks the two companies will start due diligence, they said. The new entity would be owned by the shareholders of Fimit and Fare Holding, which is controlled by Dea Capital.
The announcement follows the decision by Fimit to suspend its merger talks with Pirelli RE's asset management arm earlier this year. In January the two companies announced that the operation 'was not compatible in timing with the Pirelli RE real estate development plan already underway, and with the reorganisation process at Fimit'.
Milan-listed Dea Capital is a private equity group majority-owned by De Agostini Spa, a leading publishing group in Italy. In 2008, the company bought a 70% stake in First Atlantic Real Estate SGR, which manages a total of six funds, with assets under management of around EUR 3 bn.
