Swiss investor Stoneweg has entered into a binding agreement with Cromwell Property Group to acquire Cromwell’s European fund management platform and associated co-investments, which totals €3.9 bn of real estate assets under management, for a total of €280 mln.
Under the terms of the transaction, Stoneweg is acquiring Cromwell’s 100% interest in Cromwell Europe Limited; a 27.8% unitholding in CEREIT, a real estate investment trust listed in Singapore with a €2.2 bn portfolio; 100% interest in the Singapore-based Manager of CEREIT; and a 50% interest in the Cromwell Urban Italy Logistics Fund.
In total, across a mix of core, core+ and value-add funds and mandates, Cromwell’s European platform comprises over 160 assets and 1,600 tenants, with 14 local offices in 12 European countries.
Led by Stoneweg’s co-founders, Jaume Sabater (CEO) and Joaquin Castellvi (head of Acquisitions), the combined platform will continue to operate as Stoneweg. The enlarged group will manage €8 bn of assets, providing equity and debt investment and development expertise in the residential, light industrial, logistics, hospitality, office, and cultural and leisure sectors across 15 European countries.
Stoneweg currently has €4 bn of assets under management and employs more than 140 professionals across seven offices in Europe and the United States. Since inception in 2015, it has executed over 375 transactions representing €6.2 bn. In recent years it has further diversified its client offering with the launch of Stoneweg Hospitality in 2021 and its Places & Experiences platform in 2023.
Stoneweg Founder & CEO, Jaume Sabater, commented: 'This milestone transaction immediately creates a pan-European real estate asset management platform of scale and continues our strong track record of successful transactions to deliver value for our investors. Leveraging the respective businesses’ deep operational real estate investment and development expertise, the transaction establishes Stoneweg across all of Europe’s major geographies, enabling us to accelerate our market share ambitions and follow through on our convictions at what is a compelling point in the cycle.'
He added: 'Heralding a new era for Stoneweg, we are hugely excited by the potential of the enlarged group and look forward to integrating the Cromwell European team into the existing Stoneweg organisation, creating a true one-stop-shop for institutional and private equity investors.'
Jonathan Callaghan, CEO of Cromwell Property Group, commented: 'I strongly believe that Stoneweg is an excellent match with very little overlap in terms of geographic and asset class focus, and I take this opportunity to thank all staff who have participated in this exercise, especially those joining Stoneweg as part of this transaction.'
Swiss Bank and Stoneweg’s shareholder, CBH Compagnie Bancaire Helvétique SA acted as Financial Advisor to the buyer for the transaction.
