George Kerr led PGC fund Torchlight raises money to target counter-cyclical investments

George Kerr led PGC fund Torchlight raises money to target counter-cyclical investments

Pyne Gould Corporation says its George Kerr led Torchlight Fund has raised up to NZ$170 million to invest in counter-cyclical investments.

See PGC's announcement below:

Torchlight Investment Group has successfully raised a $150 million fund – the Torchlight Fund No.1 LP - to make counter-cyclical investments at a time of low liquidity in the banking and investment sectors. The fund could rise to $170 million following reserved allocations.

Torchlight Investment Group is chaired by George Kerr with John Duncan as Managing Director. Mr Kerr said the successful capital raising is proof of rising investor confidence in the investment opportunities in the New Zealand marketplace.

“The prevailing investment climate provides considerable opportunity for investors with access to capital and the focus and skill set to deploy this capital. That is what Torchlight Fund does.

“The Fund has the backing of a range of sophisticated domestic and international investors and investment companies, including leading specialists in credit and real estate private equity.

“The range of investors provides Torchlight with access not only to funds under its own direct management but access to substantial further funds from co-investors when Torchlight lead manages and arranges larger deals.”

The Torchlight Investment Group, a Pyne Gould Corporation subsidiary, manages the Fund. Its focus, says Mr Duncan, will be on situations where banking capital is currently restricted, and which present significant economic opportunities for investors.

“Torchlight can provide capital under the right conditions for businesses that otherwise find it difficult to access capital in the current market. “This is the case with Torchlight’s SCF loan which is delivering liquidity to help them get through their restructuring whilst delivering attractive yield to Torchlight investors at a super senior risk position, ranking ahead of the debenture holders,” Mr Duncan said.

Torchlight Investment Group, which is part of PGC’s wealth management arm, owns 10 percent – or $15 million - of the Torchlight Fund.

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