CVC Capital Partners is joining a group of investors in backing Swedish property manager Odevo, reflecting growing private equity interest in real estate companies.
The investment, which is led by Fidelio Capital, values Odevo at more than $3 billion. The deal could be one of the largest real estate transactions in Europe this year.
European real estate has been fertile ground for PE firms of late, and total deal value has steadily increased since 2020. Investment reached record levels last year, with deal value nearly doubling from $24.5 billion in 2020 to $48.3 billion in 2023, according to PitchBook data.
Deal count has also followed the trend. In 2020, the sector saw the lowest deal count of the last 10 years. Only three years later, PE firms posted the second-highest number of deals in a decade, closing 309 transactions.
2024 is looking like another strong year: So far 254 deals have been completed for a total value of $24 billion. March also recorded the largest European PE deal of all time, when KKR and other investors agreed to buy Telecom Italia‘s fixed-line business for around $24 billion.
The Odevo deal will see CVC invest out of its €26 billion (roughly $29 billion) CVC Capital Partners Fund IX, which closed in 2023.
Since its founding in 2018, Odevo has grown to report a €650 million annual turnover and manages 1.4 million homes globally through both organic growth and acquisitions, such as that of Finnish real estate service provider Retta.
Featured image by Gopixa/Getty Images
Learn about our editorial standards.
