Burlington Loan Management’s Irish holdings fall to 5%

Assets drop to $6.93bn at Dublin-based firm set up by Davidson Kempner

Accounts filed for Burlington Loan Management show its Irish assets fell to 5 per cent of the total portfolio in 2016 from 7 per cent a year earlier. Photograph: iStockPhoto

Accounts filed for Burlington Loan Management show its Irish assets fell to 5 per cent of the total portfolio in 2016 from 7 per cent a year earlier. Photograph: iStockPhoto

 

A Dublin-based company set up by Davidson Kempner to finance distressed assets acquired by the US hedge fund since 2009 saw its level of Irish holdings decline last year.

Accounts filed for the ultra tax-efficient vehicle, Burlington Loan Management, which has been behind the purchase of assets such bonds in failed Irish banks, loans to Spain’s bad bank, and debt secured on the Titanic Quarter in Belfast, show that its Irish assets fell to 5 per cent of the total portfolio in 2016 from 7 per cent a year earlier.

The company saw its total level of assets fall to $6.93 billion (€5.85 billion) at the end of December 2016 from $8.04 billion year-on-year.

Burlington Loan Management is among hundreds of so-called section 110 companies in Ireland, which were set up under 1997 laws designed to make Dublin more attractive for international companies to set up financing tax-neutral financing vehicles.

The company took a €136,123 tax charge last year, albeit up from €125,000 for 2015.