Arrow raises a further €300m for European NPL fund

This now brings the total capital commitments to €1.5bn. The latest raise includes €75m from Arrow which has been committed to invest 23% of the total commitments to the fund, alongside other investors.

The venture will provide additional asset management and servicing revenue, along with fund management fee income, to the group.

Lee Rochford, group chief executive, said: “Our first fund represents a pivotal moment in Arrow’s evolution into an alternative asset manager and we are extremely pleased by the strong demand we have seen from a range of leading institutional investors.

"The additional €300m in commitments is especially encouraging given the highly challenging fund-raising environment. Our focus now is on deploying the proceeds into the attractive investment opportunities we have identified within our market, which have increased substantially as a result of the economic dislocation caused by the Covid-19 pandemic.”