5C Funding Companions, a brand new non-public credit score agency co-founded by two former Goldman Sachs executives, is ready to start investing with $1.6bn (£1.2bn) of accessible capital.
5C will concentrate on sponsor-backed, senior direct lending to upper-middle market corporations.
Learn extra: Permira Credit score: ‘Non-public credit score is a borrower’s market’
It has named the Dell Household Workplace and Liberty Mutual Investments as anchor companions.
“We’re happy to welcome Liberty Mutual Investments as an anchor associate alongside the Dell Household Workplace, two main traders in non-public markets,” stated founders and co-managing companions Tom Connolly and Michael Koester. “After 25 years working within the non-public markets, we proceed to be obsessed with non-public investing and are honoured to work with dedicated traders, lend to driving corporations, and collaborate with our gifted professionals.”
Learn extra: Oaktree’s Howard Marks makes case for elevated credit score allocations
5C enters the extremely aggressive enviornment of senior direct lending, the place an ever-growing variety of non-public credit score companies are jostling with banks for probably the most profitable offers. Minimal differentiation on charges signifies that it may be troublesome for brand new entrants to claw market share.
Learn extra: Non-public debt AUM to hit $2.64tn by 2029