Terram Private Debt is the new alternative debt fund launched by Ignacio Novela alongside Atitlan Grupo Empresarial as anchor investor. Its goal is to ofer flexible financing solutions to companies in complex situations, with its strategy geared towards financing quality assets and companies that have a good management team and which, due to temporary dificulties, require creative investment formulas to unlock the asset’s underlying value. The goal of the fund, together with the AIFM Alaluz, TMF as depositary, Evershed as legal advisor, and audited by Deloite, is to exceed 100 million euros of capital under management by year-end. The first contributions to execute its first two investments have already been made in the hotel and residential sectors, for an amount of nearly 25 million euros.

The private debt business continues to grow at a dizzying pace in Spain, and has now consolidated its position as a complement to traditional bank financing. Notwithstanding the lack of oficial statistics, it is estimated that alternative financing accounts for just 15% to 18% of the total in Spain. The current context of rising interest rates opens the door even wider to the consolidation of alternative financing in Spain. In particular, in the real estate sector it has seen strong growth in recent years and, according to experts, it is expected to reach a market share of 50% by 2025, puting it on a par with other European Union countries.

Ignacio Novela, Terram Capital’s Managing Partner, has a wealth of experience in the sector and was responsible for managing Amento Capital between 2017 and 2022, an alternative investment fund that has already been successfully liquidated.