Why Blue Owl is Skating to Where the Puck is Going
Fundraisings from Strategic Value Partners, Gemcorp, Neuberger Berman, Tikehau, KKR and more
š Hey, Nick here. A couple of months ago, my best man gave me some words of wisdom: "Donāt be a modern dad.ā Fast forward to today, and Iām writing this weekās newsletter with my two-week-old strapped around my chestāSafe to say, Iāve already failed.
Jamie Dimon, on the other hand, is one man who refuses to embrace the āmodernā way of doing things. If you havenāt shared his rant on remote working with your analysts and associates, hereās the link for you to do so.
A special welcome to the new subscribers from AlixPartners, Viola Credit, and TermSt. Itās great to have you. Reach out and say hi. This is the 102nd edition of my weekly newsletter. Each week, I write about private credit insights and fundraising announcements. You can read my previous articles here and subscribe here
š Reads of the Week
How to Become a Private Credit Billionaire. Bloomberg calculated the fortunes of 18 beneficiaries of the private credit boom. These individuals work at seven different managers and are worth $61 billion. Learn how they did it here. Here
The Truth About NAV Facilities and Debunking the āLeverage on Leverageā Criticism. Link
š§ Apollo: How Can Private IG Enhance Fixed Income Allocations? Link
Annuities Are BoomingāAnd Private Credit Is Collecting the Fees. Link
If youāre interested in learning more about this, you should read Aresā take. Link
JP Morgan Commits $50 Billion for Direct Lending. Link
Ares Alternative Credit Grows AUM to $44.5 Billion. Link
š¦ Blue Owlās 2025 Investor Day
Blue Owl held its 2025 investor day a few weeks ago. While Apollo is applying pickleball's playbook to double its AUM, Blue Owl is playing a different game, believing that ice hockey will help it stay ahead of the competition. Below are my five highlights, but you can watch the full presentation here.
āSkate to where the puck is going to be, not where it has beenā
Wayne Gretzky
Blue Owl has increased AUM by more than 300% in the last three years
Itās built a diverse portfolio of strategies
Direct Lending has been key to its success, maintaining better spreads than Public Markets
Blue Owl expects to double its AUM in the next five years
Five core drivers will support the 2.5x increase in management fees
Watch the full presentation here.
š Event of the week - Aviva Investors Private Markets Study
Aviva is sharing its latest Private Markets Study. Register for its webinar where its team will discuss the findings, key trends, and what lies ahead for private markets in 2025.
Register for the March 05 Webinar here
š°Fundraising News
Strategic Value Partners, a Connecticut-based alternative manager, is raising $6.5 billion for its latest distressed debt fund. SVP focuses on acquiring debt of middle-market, asset-heavy companies in legacy industries. Fund VI is targeting a 15% IRR. More here
Gemcorp Capital, a London-based emerging markets manager, is raising $2 billion for its new fund. About 40% of the fund will be invested in government-backed infrastructure projects. The remainder will finance the physical trade of commodities around the world. Loans will range from $20 million to $300 million. Gemcorpās previous investments include infrastructure projects in Angola and a renewable energy plant in Kenya. More here
Neuberger Berman, a New York-based investment manager, closed its $1.6 billion NB Specialty Finance Fund III. The fund focuses on high-yield, short-duration asset-based finance. Primary sectors include receivables, small business, consumer, and hard assets. The global team has a physical presence in New York, Redwood City, London, and Tel Aviv. The fund is already 45% deployed. The group manages over $4 billion across 50+ portfolio companies and various investment vehicles. More here
Tikehau Capital, a Paris-based alternative asset manager, closed its $1.3 billion Tikehau Special Opportunities III fund. Launched in 2023, TSO III has a flexible mandate, providing corporate and asset-backed finance across primary and secondary credit markets in Europe. The fund has invested in 13 companies and has deployed 55% of its capital. More here
Gramercy Funds Management, a Connecticut-based emerging markets manager, is raising $1 billion for Turkish deals. Gramercy has deployed half of that amount in Turkey since 2018. It continues to see a āstrong pipelineā with opportunities in sectors such as food, energy, steel, chemicals, and mining. Link
KKR closed its $850 million Opportunistic Real Estate Fund II, a strategy dedicated to opportunistic senior and real estate loans in the U.S. and Western Europe. It will target high-quality properties owned by institutional sponsors and located in major markets. KKRās real estate credit has originated $43.4 billion of loans and invested $14 billion in CMBS since 2015. More here
Blazehill Capital, a UK-based manager, has raised a total of $440 million following additional funding from InterVest Capital Partners. Blazehill lends up to Ā£50 million to companies located in the UK, Europe and USA. The manager is sector agnostic but leans towards businesses that offer a strong asset base (e.g. receivables, inventory, equipment, property, brand/IP) or recurring revenues. More here
CapitaLand Investments, a Singapore-based manager, closed its first South Korean private credit fund with $130 million of commitments. The fund will invest in construction, asset-backed, or mortgage loans to sectors such as data centers, offices, or residential. It will focus on gateway cities in South Korea. More here
Muzinich & Co, a New York-based asset manager, launched its first European Private Credit ELTIF. The fund will build a portfolio of 50 senior secured direct lending investments. It will offer investors monthly liquidity windows and will be available for sale in Austria, France, Germany, Italy, Luxembourg, Spain, Switzerland, and the United Kingdom. Link
š°Meme of the Week
This newsletter is for education or entertainment purposes only. It should not be taken as investment advice.