Distressed Debt Fund II
A corporate recovery fund buying the senior secured debt of European mid-market companies in restructuring, at a discount to face value.
- Target return
- 15.0%/yr
- Min. entry
- €20,000
- Fund size
- €198M / €260M
- Liquidity
- 6-year term
Strategy
The fund buys senior secured loans and bonds of fundamentally sound European companies facing temporary financial stress, typically at 50–70% of face value.
The team then takes an active role in the recovery plan alongside management and other creditors, targeting a 15.0% net IRR over a 6-year term.
Senior secured
85% of the portfolio in first-lien positions.
Active recovery
A seat on 9 creditor committees.
Proven team
Fund I delivered a 17.4% net IRR, fully realized.
Performance
NAV per unit
€118.60+18.6%
- 1 year
- +16.4%
- Fund I net IRR
- +17.4%
- Since Jun 2025
- +18.6%
- Volatility
- 7.9%
Net of fees, distributions reinvested. Past performance is not a reliable indicator of future results.
Portfolio breakdown
By sector
- Industrials28%
- Retail & consumer22%
- Healthcare18%
- Technology14%
- Real-estate backed10%
- Cash & liquidity8%
By country
- France34%
- Germany26%
- Italy16%
- Spain12%
- Benelux12%
| Top positions | Country | Instrument | Weight | Status |
|---|---|---|---|---|
| Project Atlas · auto parts supplier | France | Senior secured loan | 9.4% | Restructuring |
| Project Borealis · retail chain | Germany | First-lien bond | 8.1% | Recovered |
| Project Cedar · clinic group | Spain | Senior secured loan | 7.6% | Performing |
| Project Delta · logistics software | Netherlands | Unitranche | 6.3% | Performing |
| Project Etna · food processing | Italy | Senior secured loan | 5.9% | Restructuring |
Fees & terms
- Management fee
- 1.75% / year
- Performance fee
- 20% above 8% hurdle
- Platform fee (subscription)
- 1%
- Term
- 6 years (+2 optional)
- Liquidity
- Closed-ended, transferable after 24 months
- Distributions
- Semi-annual from year 2
- NAV frequency
- Quarterly
- Domicile
- Luxembourg (RAIF)
- Token standard
- ERC-3643
- Custodian
- EU depositary bank
Risk
Summary risk indicator
Level 5 of 7
- Credit & recovery riskA restructuring can fail and recoveries fall short.
- Liquidity riskClosed-ended fund: capital is committed for the full term.
- Legal riskInsolvency proceedings differ from country to country.
- Concentration riskThe top 5 positions represent 37% of the fund.
You may lose part or all of your investment. Read the risk disclosure and the Key Information Document before investing.
Documents
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Download
Prospectus
PDF · 3.5 MB · Updated Apr 8, 2026
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Download
Key Information Document (KID)
PDF · 0.4 MB · Updated Apr 8, 2026
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Download
Fund I final report
PDF · 4.8 MB · Audited
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Download
Q2 2026 investor report
PDF · 1.6 MB · Jul 31, 2026
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Download
Subscription agreement
PDF · 1.3 MB · E-signed at subscription