H.I.G. Realty Makes a Strategic Investment into The Grounds Real Estate Development AG in Germany
LONDON – October 11, 2023 – H.I.G. Capital, LLC (“H.I.G.”), a leading global alternative investment firm with $59 billion of capital under management, is pleased to announce that an affiliate has made an investment in The Grounds Real Estate Development AG (the “Transaction”), a German real estate investment company (“The Grounds” / ISIN: DE000A2GSVV5) listed on the Düsseldorf alternative stock exchange. Proceeds will be used to fund capital expenditures of The Grounds’ existing projects.
Headquartered in Berlin, The Grounds specialises in German residential properties in major metropolitan areas. As part of the Transaction, The Grounds’ major shareholders, currently holding a combined 73% stake in the company, have provided H.I.G. with the right to participate in future rights issuances.
Riccardo Dallolio, Managing Director and Head of H.I.G. Realty in Europe commented: “We believe that the German residential market is at an inflection point and should offer numerous investment opportunities and are excited to partner with The Grounds and its strong management team to invest in value-add opportunities with a focus on the Berlin residential market.”
Jacopo Mingazzini, CEO of The Grounds, said: “The collaboration with a well-capitalised and experienced strategic investment partner like H.I.G. Capital creates new opportunities for The Grounds, especially in the current market environment. This is true both for the development of ongoing projects and for the company’s further expansion. We very much look forward to the partnership.”
About H.I.G. Capital
H.I.G. is a leading global alternative investment firm with $59 billion of capital under management.* Based in Miami, and with European offices in London, Hamburg, Madrid, Milan, Paris and U.S. and Latin American offices in New York, Boston, Chicago, Dallas, Los Angeles, San Francisco, Atlanta, Bogotá, Rio de Janeiro, São Paulo. H.I.G. specializes in providing both debt and equity capital to middle market companies, utilizing a flexible and operationally focused/value-added approach:
- H.I.G.’s equity funds invest in management buyouts, recapitalizations, and corporate carve-outs of both profitable as well as underperforming manufacturing and service businesses.
- H.I.G.’s debt funds invest in senior, unitranche, and junior debt financing to companies across the size spectrum, both on a primary (direct origination) basis, as well as in the secondary markets. H.I.G. also manages a publicly traded BDC, WhiteHorse Finance.
- H.I.G.’s real estate funds invest in value-added properties, which can benefit from improved asset management practices.
- H.I.G. Infrastructure focuses on making value-add and core plus investments in the infrastructure sector.
Since its founding in 1993, H.I.G. has invested in and managed more than 400 companies worldwide. The firm’s current portfolio includes more than 100 companies with combined sales in excess of $52 billion. For more information, please refer to the H.I.G. website at www.hig.com.