KLIM purchases 4.9% of Great Elm Group at $2.11 per share

Great Elm Group (GEG) announced a strategic partnership with KLIM. This partnership delivers up to $150M in leverageable capital to support continued growth across Great Elm’s real estate platform, which includes Monomoy REIT, Monomoy CRE, Monomoy Construction Services and Monomoy BTS. Under the terms of the transaction, KLIM is providing an initial $100M term loan to Monomoy REIT, and the option for an additional $50M in future capital. Additionally, KLIM is purchasing 4.9% of GEG’s common stock at market price, approximately $2.11 a share, and will hold an initial 15% profits interest, which may be increased to 20% under certain circumstances, in the newly formed Great Elm Real Estate Ventures, which consolidates GEG’s real estate subsidiaries: MCRE, MCS, and MBTS.