LONDON—An affiliate of H.I.G. Capital has reached an agreement with the shareholders of Finangeste, a Portuguese asset manager, to acquire two real estate-based portfolios. The portfolios are comprised of 77 real estate assets and 114 secured loans with a face value of over €110 million, or approximately US$124 million, and further exands the Miami-based investment firm's European presence.

“This investment demonstrates our ability to execute complex transactions in the Portuguese market,” says Ahmed Hamdani, London-based managing director at H.I.G. “We continue to acquire undervalued real estate assets and assets where we see an opportunity to add value by enhancing the income and quality of the asset.” H.I.G. principal Sanjoy Chattopadhyay adds that the deal with Finangeste provides “a strong platform for additional investments in both the Portuguese NPL and real estate markets.”

The transaction represents H.I.G.'s 21st real estate investment in Europe since the beginning of 2013. As it continues adding to its portfolio of real estate assets on the continent, H.I.G. is especially targeting small/midcap opportunities with a meaningful value-added component.