Phoenix Group Invests £90m in Affordable Housing
Phoenix Group, the UK’s largest long-term savings and retirement business, announces today that it has provided £90 million of long-term funding by means of a private placement to Alliance Homes, a regulated social housing provider. The transaction marks an increase in Phoenix’s UK social housing holdings to above £2.5 billion.
Phoenix was chosen as lead investor with funding provided through Macquarie Asset Management, a key asset management partner.
The investment by Phoenix will support Alliance in developing c.2,000 affordable homes over the next ten years to help address the UK housing crisis. Alliance will use part of the funds to invest in improving the sustainability of its current housing stock by bringing all homes to an Energy Performance Certificate (EPC) rating of C or better.
The funding for the private placement, which was heavily oversubscribed through a tender process, was for a total value of £100 million and will be drawn in tranches aligned with Alliance’s business needs, giving long-term certainty of funding as it pursues its housing ambitions.