Intrum AB (“Intrum”) is pleased to announce the finalisation of definitive documentation for its long-term investment agreement with an affiliate of Cerberus Capital Management, L.P. (“Cerberus”), which was previously announced in July 2024.
The agreement allows Intrum to scale its investment activity without increasing its debt, providing servicing revenues and additional investment management revenue, in line with the company’s ‘capital-light’ strategy.
The investment agreement includes a 3-year exclusivity period and covers investments in consumer unsecured non-performing loan (NPL) portfolios across Intrum’s European servicing footprint. Intrum and Cerberus will seek to jointly invest up to EUR 1bn annually depending on market conditions and investment criteria under the agreement. Intrum will provide up to 30 percent of the capital for the investments, subject to adjustment under certain conditions.
Servicing income and additional fees
Intrum will enter into 5-year servicing agreements for portfolios acquired under the capital partnership. Intrum is responsible for servicing nearly all portfolios purchased under the partnership, with selected exceptions, and will be paid market-based fees which will generate new revenue for the company.
In addition to the servicing fees, and in line with Intrum’s Investment Management strategy, Intrum will earn additional fees consisting of execution fees, portfolio management fees, and performance-based fees.
Andrés Rubio, President & Chief Executive Officer, Intrum:
“The finalisation of this partnership is yet another milestone in Intrum’s capital-light strategy. As a partner, Cerberus is an ideal strategic fit and the partnership further strengthens our position in a macro environment that is driving high demand for credit management services and investments. We have developed strong momentum since initiating our partnership with Cerberus in July last year, agreeing to acquire 12 portfolios together, and we have a strong pipeline of investment opportunities ahead.”
David Teitelbaum, President of Cerberus Global Investments and Global Head of Real Estate, Non-Performing Loans and Financial Opportunities:
“Our partnership with Intrum highlights our joint focus on emerging opportunities in unsecured loans. This collaboration strengthens our investment capabilities and positions us as leaders in a dynamic sector. We look forward to continuing our successful work with Intrum and delivering attractive solutions across Europe.”
For further information, please contact:
Investor Relations
Anders Bengtsson, Investor Relations Manager
ir@intrum.com
Media Inquiries
Kristin Andersson, External Communications Director
+46 70 585 78 18
kristin.andersson@intrum.com
About Intrum AB
Intrum is the industry-leading provider of Credit Management Services with a presence in 20 markets in Europe. By helping companies to get paid and supporting people with their late payments, Intrum leads the way to a sound economy and plays a critical role in society at large. Intrum has circa 9,500 dedicated professionals who serve around 75,000 companies across Europe. In 2024, income amounted to SEK 18.0 billion. Intrum is headquartered in Stockholm, Sweden and publicly listed on the Nasdaq Stockholm exchange. For more information, please visit www.intrum.com.
About Cerberus Capital Management, L.P.
Founded in 1992, Cerberus is a global leader in alternative investing with approximately USD 65 billion in assets across complementary credit, private equity, and real estate strategies. Cerberus invests across the capital structure where integrated investment platforms and proprietary operating capabilities create an edge to improve performance and drive long-term value. Cerberus’ tenured teams have experience working collaboratively across asset classes, sectors, and geographies to seek strong risk-adjusted returns for our investors.