Acquisition of NPL Portfolio and Restructuring of Hospitality Business

• Florence: two Hilton-branded properties
• Naples: Holiday Inn
• Mestre (Venice): Hiltonn
• Assisi: Gran Hotel dei Congressi
• Sardinia: Grande Baia Resort

1. Achieve a fully consensual exit acceptable to every lender in the pool.
2. Secure borrower relief by introducing fresh capital that would clear existing balances.
3. Lay a foundation for long-term stability ahead of a negotiated restructuring.

• Portfolio-wide agreement. Every bank in the capital stack consented to terms under which its outstanding exposure would be paid in full at completion.
• New equity injection. External capital flowed directly to the borrowers, enabling them to settle their debts before the planned restructuring took effect.
• REIT-type vehicle. Title to each hotel was contributed to a newly formed, real-estate-investment-trust structure. In exchange, the original borrowers received units in the REIT, with distributions calibrated to their individual performance metrics.

• Clean debt exit. Legacy loans were discharged simultaneously, eliminating the web of overlapping securities that had hampered operational and strategic decisions.
• Aligned incentives. Borrowers now participate in the upside of the consolidated REIT, earning differentiated returns that reflect how effectively each asset performs.
• Institutional-grade platform. The portfolio is positioned under a single, transparent ownership vehicle, enhancing governance and simplifying any future capital-raising or divestiture.

• Transparency. A single REIT structure replaces fragmented collateral arrangements, giving investors clear visibility into asset ownership and cash-flow allocation.
• Stability. With the prior debt burden removed and fresh capital deployed, the hotels have breathing room to focus on operations and potential value-add initiatives.
• Scalability. The transaction provides a replicable template for resolving other multi-lender hospitality portfolios across Europe.

By guiding all stakeholders to a unified solution, Polymath & Boffin demonstrated its ability to navigate intricate credit pools and design capital structures that preserve value for lenders while opening new avenues of growth for asset owners.