Torchlight readies for buying spree with $150m fund
Pyne Gould Corp subsidiary Torchlight Investment Group (TIG) is on the look out for counter cyclical investments after raising $150 million from local and overseas investors.
TIG – chaired by PGC shareholder George Kerr – said its Torchlight Fund No 1 fund could grow to $170 million following reserved allocations.
TIG has already been active in the market this year, arranging a $100 million loan for troubled finance company South Canterbury Finance.
South Canterbury Finance is currently looking to raise capital and will likely sell assets potentially including stakes in Helicopters NZ, Scales Corp and dairy farm giant Dairy Holdings.
Mr Kerr said the fund had backing from sophisticated investors and investment companies, including specialists in credit and real estate private equity.
“The prevailing investment climate provides considerable opportunity for investors with access to capital and the focus and skill set to deploy this capital. This is what Torchlight Fund does.”
Managing director John Duncan said the fund would focus on situations where banking capital is currently restricted, such as the loan to South Canterbury.
TIG, which is part of PGC’s wealth management arm, owns 10% ($15 million) of the Torchlight Fund No 1.