Alcentra has secured greater than $1bn (£0.8bn) in fairness capital commitments for its collateralised mortgage obligation (CLO) targeted methods.
The worldwide different credit score asset supervisor – which is part of Franklin Templeton – mentioned that the funds will probably be principally invested in CLO mezzanine and fairness by way of the agency’s third get together CLO tranche investing platform.
A portion of the capital will type a part of Alcentra’s second captive European CLO fairness fund, contributing to roughly $4bn of property underneath administration in European CLOs over the subsequent three years.
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Alcentra mentioned that the brand new funding highlights the robust demand from institutional buyers for alternatives within the international CLO market.
“Now we have seen a resurgence within the reputation of CLOs amongst main institutional buyers over the previous six months,” mentioned Cathy Bevan, head of structured credit score and portfolio supervisor at Alcentra.
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“The monitor document of our international structured credit score enterprise, the set-up of our crew throughout US and Europe and our capacity to be dynamic means we’re very properly positioned to capitalise on rising attraction of the asset class.”
Alcentra at the moment manages greater than $18bn throughout European loans, European CLO issuance and international third-party CLO tranches, by way of its European liquid credit score and structured credit score companies.
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