Credit, Collections & Insolvency News
Arrow Global has completed its £14 million acquisition of Italian business Zenith Service S.p.A, having received regulatory approval from the Bank of Italy.
Zenith is also a leading servicer of salary assignment loans , managing about €1.9 billion of CQS assets. In June 2016, the estimated stock of the securitized market for CQS in Italy amounted to more than €3.2 billion.The acquisition will further expand Arrow’s European footprint, building on
The acquisition will further expand Arrow’s European footprint, building on the its top three market positions in the UK, Portugal and Benelux and will reinforce its position as a major European debt purchase and management business. The acquisition further diversifies the company’s income streams and increases the weighting of asset management revenues across the group, which it said will be around 25% of total revenues in 2017.
The deal is expected to be earnings neutral after taking into account amortisation of the acquisition intangible assets and is funded from cash resources, with 60% payable on closing and 40% payable 12 months after closing.
“Zenith has an experienced management team, a strong and established client base of leading Italian and international banks, and a great reputation for quality and service. It offers us an excellent platform from which to grow our business in Italy.”
