Coller Capital has acquired a $1.6bn (£1.2bn) senior direct lending portfolio from US-based insurer American Nationwide.
The funding marks the most important ever LP-led credit score secondaries transaction that’s centered on a senior direct lending portfolio.
The deal will see Coller Capital purchase LP positions in 44 US credit score funds which might be primarily centered on senior direct lending. The portfolio focuses on first lien and unitranche loans to mid-market firms diversified throughout greater than 3,000 loans and practically 1,500 debtors.
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“This funding marks the most important of its sort so far,” mentioned Michael Schad, associate, head of Coller Credit score secondaries.
“It’s a basic Coller Capital transaction in that it required scale, innovation and specialist experience to resolve a posh problem. In the end, it underlines our pioneering place within the credit score secondary area.
“Whereas curiosity in personal credit score secondaries continues to develop, the market stays undercapitalized relative to deal volumes. We imagine that as extra capital turns into out there to deal with this imbalance we are going to see a rise in transactions of this dimension.”
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“It is a landmark transaction demonstrating the advantages of our international scale and capabilities within the secondary market, in addition to the advantages of a seasoned crew,” mentioned Martins Marnauza, associate at Coller Capital.
“The funding highlights our skill to successfully construction and swiftly execute on transactions and helps us proceed to supply our buyers with publicity to a diversified portfolio of high-quality belongings.”
Jefferies acted as adviser to American Nationwide, with Debevoise and Plimpton serving as authorized counsel. Akin Gump Strauss Hauer & Feld and Simpson Thacher & Bartlett served as authorized counsel for Coller Capital.
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