Pivot completes MBO with £100M+ backing from Foresight Group
What's the deal? Pivot Lending, a UK specialist development finance provider, has completed a management buyout backed by more than £100m in debt and equity from Foresight GroupDealroom has a profile for this one. Try Dealroom →. The transaction was led by chief executive officer Shahil KotechaDealroom has a profile for this one. Try Dealroom → and capital director PakSan WuDealroom has a profile for this one. Try Dealroom →. Graham Emmett,Dealroom has a profile for this one. Try Dealroom → who joined as non-executive director in early 2025, has transitioned to non-executive chair.
Foresight, already a senior lender to Pivot for two years, now holds both debt and equity in the business. The deal strengthens Pivot's capital base and widens its shareholder structure.
The new funding will allow Pivot to increase maximum loan sizes from £10m to £15m. It also plans to offer more competitive pricing and greater flexibility across its product range.
Why now? UK development finance faces a structural gap. High street banks remain cautious, restricting leverage and avoiding first-time developers or projects with planning risk. This has expanded the role of specialist lenders that can move faster and structure around complexity.
Foresight's private credit strategy targets this opportunity. The firm provides wholesale loan facilities to alternative lenders, helping them scale and serve underserved markets. Its investment criteria favour UK-based specialist lenders in the £10m to £50m facility range.
Pivot has operated since 2012, supporting SME developers with bridging, development, and development exit loans. It already had backing from Quilam Capital, which committed £40m in early 2024 alongside a Foresight senior facility.
What could go wrong? The UK property development market remains sensitive to interest rate movements and construction cost inflation. If rates rise or building costs spike, developer demand could soften.
Pivot's expansion into larger loans and new asset classes — including care homes, student housing, and hospitality — also brings execution risk. These sectors carry different risk profiles than traditional residential.
The signal: Institutional capital continues to flow into UK specialist lending. Foresight, with over £12bn in assets under management, is betting that non-bank lenders will capture market share from cautious high street banks.
The deal reflects a broader trend: private credit funds backing specialist platforms to fill gaps left by traditional lenders. For SME developers, this means more funding options. For investors, it offers exposure to secured real estate lending with attractive risk-adjusted returns.
Oliver Bates, director at Foresight, said the transaction highlights the firm's ability to invest across the capital structure of high-quality specialist lenders.
Sources:
Development Finance Today
Bridging Loan Directory
The Intermediary
Quilam Capital
Imperial Blue Finance
Foresight Group
Pivot
B.S.
