Great Elm Group Announces Strategic Partnership with Kennedy Lewis Investment Management

Core Viewpoint - Great Elm Group, Inc. has announced a strategic partnership with KLIM, which includes a $150 million debt investment to enhance its industrial real estate platform and a purchase of 4.9% of its common stock [1][2][3] Transaction Highlights - KLIM is providing an initial $100 million term loan to Monomoy REIT, with an option for an additional $50 million in future capital [2] - KLIM is purchasing 4.9% of Great Elm Group's common stock at approximately $2.11 per share and will hold an initial 15% profits interest in Great Elm Real Estate Ventures, LLC [2][5] Strategic and Financial Impact - The financing from KLIM will improve Monomoy REIT's cost of capital, allowing for refinancing of existing convertible debt and repayment of key credit facilities [10] - The capital will also be utilized for new acquisitions and scaling Monomoy's operations [10] About the Monomoy Platform - Monomoy Properties REIT, LLC has approximately $400 million in diversified net leased industrial outdoor storage (IOS) assets, providing investors with returns through dividends and long-term capital appreciation [4] - The Monomoy platform includes Monomoy CRE, LLC, Monomoy Construction Services, LLC, and Monomoy BTS Corp, creating a vertically integrated real estate enterprise [5][16] Company Overview - Great Elm Group, Inc. is an alternative asset manager focused on building a diversified portfolio across credit, real estate, and specialty finance [14] - The newly formed Great Elm Real Estate Ventures consolidates GEG's real estate subsidiaries, enhancing its ability to deliver comprehensive real estate solutions [9][16]