Bridgepoint has raised its steerage for 2024 and 2025 after its first-half outcomes beat administration’s expectations.
The choice asset supervisor – which invests throughout personal fairness and debt – noticed its belongings below administration (AUM) rise by eight per cent year-on-year to €42.7bn (£36bn), due to robust will increase in fee-related earnings and performance-related earnings.
Nonetheless, fee-paying AUM got here in at €25.8bn, exhibiting that Bridgepoint has vital ‘dry powder’ to deploy.
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Bridgepoint reported a 55 per cent year-on-year enhance in underlying core earnings to £86.2m.
“The outlook for 2024 and 2025 is being upgraded based mostly on better-than-expected monetary efficiency within the first half of 2024, flagship fundraises accomplished on or forward of goal, robust deployment and exits (together with a wholesome pipeline heading into the summer time), and indicators of accelerating transaction exercise within the markets by which Bridgepoint operates,” stated chief government Raoul Hughes.
Bridgepoint additionally reported “a major uptick in exercise” in its credit score arm, with its direct lending workforce deploying virtually €1bn within the first half of 2024.
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The choice asset supervisor stated that its direct lending workforce dedicated to put money into 15 offers over the interval, comprising 10 new main offers and 5 additional commitments to current investments.
“As a lender to predominantly mid-market, personal equity-backed corporations, this elevated stage of exercise additional demonstrates the restoration of deal volumes,” stated Hughes.
“In Bridgepoint Credit score Alternatives, the funding tempo has held regular this yr with the most recent classic, BCO IV, now 79 per cent dedicated.”
AUM for Bridgepoint’s credit score enterprise rose by €0.1bn to €12.5bn over the interval, with the deployment of capital within the BDL III and BCO IV methods and the launch of CLO 6 in March offset by cancellation of commitments in mature funds.
It stated that fundraising for BDL IV has began and is predicted to begin capital deployment later this yr.
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“Profitable fundraising and a powerful pipeline of each investments and exits place Bridgepoint to navigate the remainder of the yr with confidence,” stated Hughes.
“With middle-market management a transparent differentiator for Bridgepoint, the platform is well-positioned to capitalise on each market progress and the growing development in the direction of trade consolidation.
“Alternatives for inorganic progress and enlargement into new asset courses proceed to be actively explored, alongside the natural scaling and broadening of Bridgepoint’s current funding methods.”