Services - 421033-2016

30/11/2016    S231

United Kingdom-London: Pension investment services

2016/S 231-421033

Contract notice

Services

Legal Basis:
Directive 2014/24/EU

Section I: Contracting authority

I.1)Name and addresses
Official name: London Borough of Newham
Postal address: Newham Dockside 1000, Dockside Road
Town: London
NUTS code: UKI12 Inner London - East
Postal code: E16 2QU
Country: United Kingdom
Contact person: Rakesh Rajan
E-mail: rakesh.rajan@oneSource.co.uk
Internet address(es):
Main address: www.newham.gov.uk
I.3)Communication
The procurement documents are available for unrestricted and full direct access, free of charge, at: https://impp.bfinance.com/
Additional information can be obtained from another address:
Official name: bfinance UK Ltd
Postal address: Clareville House, 26-27 Oxendon street
Town: London
NUTS code: UKI11 Inner London - West
Postal code: SW1Y 4EL
Country: United Kingdom
Contact person: Gwenaelle Rose
E-mail: grose@bfinance.com
Telephone: +44 2077478619
Internet address(es):
Main address: https://impp.bfinance.com/
Tenders or requests to participate must be submitted to the abovementioned address
I.4)Type of the contracting authority
Regional or local authority
I.5)Main activity
Other activity: Pension

Section II: Object

II.1)Scope of the procurement
II.1.1)Title:

Pension fund investment — Private Corporate Debt (Direct Lending).

II.1.2)Main CPV code
66131100 Pension investment services
II.1.3)Type of contract
Services
II.1.4)Short description:

The Pension Fund of the London Borough of Newham invites proposals for the management of an investment in Private Corporate Debt (Direct Lending) through a pooled fund vehicle. The Pension Fund of the London Borough of Newham does not wish to be contacted during the tender process. Please contact bfinance for any queries regarding the tender.

II.1.5)Estimated total value
II.1.6)Information about lots
This contract is divided into lots: no
II.2)Description
II.2.3)Place of performance
NUTS code: UKI12 Inner London - East
II.2.4)Description of the procurement:

Asset Class: Private Corporate Debt (Direct Lending)

Size of mandate: Approx. 110 000 000 GBP to be invested with 1 or 2 manager(s).

— Pooled Fund structure;

— Minimum Fund size 400 000 000 GBP;

— GBP share class preferred;

— Absolute return in terms of target NET IRR of 6 % to 8 %+ (net of fees);

— Looking for LIBOR +4 % to 5 %;

— Minimum hurdle of 4 %;

— Investment Horizon of 3-5 years investment period and total fund life 5-10 years.

Type of management:

— Buy-and-hold of corporate private debt.

Allocation:

— Primarily senior debt focus;

— Preference for 1 global manager, but the client is willing to consider two managers (1 focused on the US and 1 on Europe);

— Limited cov. light deals;

— No specific requirements in terms of duration/maturity of the loans;

— The Client has a preference to represent no more than 20 % of Fund commitments.

Portfolio Diversification:

— Broadly diversified by asset types and sectors, concentration limits relevant to specific type of private debt.

Minimum Requirements:

— Bidders are required to be a regulated entity (FCA or equivalent);

— The Client would like to see demonstrable experience in the strategy, asset class, whether this is at the firm level or attributable to members of the investment team from prior firms;

— Fund should be a minimum size of 400 000 000 GBP;

— Unlevered fund only;

— At least one fund post investment period with some realizations;

— Preference for managers with a UK office or at least a dedicated UK Client Services;

— Quarterly reports, quarterly investor level capital statements, annual audited financial statements for the fund;

— Multi-managers (fund of funds) will not be considered.

II.2.5)Award criteria
Price is not the only award criterion and all criteria are stated only in the procurement documents
II.2.6)Estimated value
II.2.7)Duration of the contract, framework agreement or dynamic purchasing system
Duration in months: 60
This contract is subject to renewal: yes
Description of renewals:

It is intended that the contract will continue in force until such time as is determined in accordance with the provisions contained in the contract.

II.2.10)Information about variants
Variants will be accepted: no
II.2.11)Information about options
Options: no
II.2.13)Information about European Union funds
The procurement is related to a project and/or programme financed by European Union funds: no
II.2.14)Additional information

See the tender documentation. The procurement documents can be obtained on the bfinance website https://impp.bfinance.com/ Alternatively you may contact bfinance using the email address Newham@bfinance.com

Section III: Legal, economic, financial and technical information

III.1)Conditions for participation
III.1.1)Suitability to pursue the professional activity, including requirements relating to enrolment on professional or trade registers
List and brief description of conditions:

See the procurement documents.

III.1.2)Economic and financial standing
Selection criteria as stated in the procurement documents
III.1.3)Technical and professional ability
Selection criteria as stated in the procurement documents
III.2)Conditions related to the contract
III.2.1)Information about a particular profession
Execution of the service is reserved to a particular profession
Reference to the relevant law, regulation or administrative provision:

An institution authorised to accept deposits in the United Kingdom. Providers must be authorised under the Financial Services Act 1986 or any equivalent legislation in any EU member state. Providers must satisfy the requirements of the Superannuation Act 1972 and the Local Government Pension Scheme (Management and Investment of Funds) regulations 1998 (as amended).

III.2.2)Contract performance conditions:

See the procurement documents.

Section IV: Procedure

IV.1)Description
IV.1.1)Type of procedure
Open procedure
IV.1.3)Information about a framework agreement or a dynamic purchasing system
IV.1.8)Information about the Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement: no
IV.2)Administrative information
IV.2.2)Time limit for receipt of tenders or requests to participate
Date: 04/01/2017
Local time: 12:00
IV.2.3)Estimated date of dispatch of invitations to tender or to participate to selected candidates
IV.2.4)Languages in which tenders or requests to participate may be submitted:
English
IV.2.6)Minimum time frame during which the tenderer must maintain the tender
Duration in months: 6 (from the date stated for receipt of tender)
IV.2.7)Conditions for opening of tenders
Date: 04/01/2017
Local time: 14:00

Section VI: Complementary information

VI.1)Information about recurrence
This is a recurrent procurement: no
VI.3)Additional information:
VI.4)Procedures for review
VI.4.1)Review body
Official name: bfinance UK Ltd
Town: London
Country: United Kingdom
VI.4.3)Review procedure
Precise information on deadline(s) for review procedures:

As detailed in procurement documents.

VI.5)Date of dispatch of this notice:
28/11/2016