Ex-GLG, Vornado Execs Team Up For New $500M Real Estate SPAC

Nov 9 2017 | 9:32pm ET

Noam Gottesman, co-founder of hedge fund manager GLG Partners, and former Vornado Realty Trust executive Michael Fascitelli have reportedly teamed up on a special-purpose acquisition vehicle (SPAC) aimed at making deals in the real estate and hospitality sectors. 

The new SPAC, named Landscape Acquisition Holdings Limited, is raising $500 million through an initial public offering on the LSE scheduled for November 15, according to a Reuters article citing marketing materials. It will focus on opportunities in North America and Europe, the article said.

Gottesman was formerly chairman of GLG Partners, which he co-founded in 1995 and sold to Man Group in 2010 for $1.6 billion. He has been an active investor in the food and hospitality sectors since, buying into several restaurants and founding Nomad Foods, also a SPAC which bought European frozen food giant Iglo Group for $2.8 billion. 

Fascitelli, meanwhile, was president of Vornado until 2013, during which time the REIT grew into a major real estate owner in Manhattan. They are investing $40 million of their own capital into the IPO, Reuters said, which is being run by Credit Suisse, Goldman Sachs and Morgan Stanley and will offer 50 million units at $10 apiece. 

SPACs were initially called “blank-check” companies because they raise capital in public offerings for use, often with leverage to subsequently buy companies, assets, securities or form joint ventures in line with their stated objectives. Generally, if a SPAC fails to find a suitable outlet for the capital it has raised within a certain period of time, the capital is returned to investors. Very popular before the financial crisis, SPACs came under severe pressure afterwards as performance waned and scandals involving SPACs came to light. 

In Landscape’s case, the company will have two years to make an investment, with a one-year extension available if unit holders approve, the Reuters article said. Capital will be returned if nothing is purchased within that time frame. 


In Depth

Q&A: Decathlon Capital On Revenue-Based Alternative Lending

Oct 30 2017 | 3:49pm ET

The explosion in private credit activity since the end of the financial crisis is...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

CAIS: How Technology is Disrupting the Alternative Investment Industry

Nov 7 2017 | 5:35pm ET

If there’s one thing that alternative investment professionals can agree on, it...