Funding supervisor AGL Credit score Administration and Barclays have launched a brand new personal credit score funding platform, with backing from the Abu Dhabi Funding Authority.
AGL Non-public Credit score (AGL PC) can have unique entry to Barclays’ deal movement in addition to originating offers straight. It’ll concentrate on senior secured loans to massive company debtors and can search to capitalise on what it calls “a pretty and rising alternative on the convergence of the personal credit score, broadly syndicated mortgage and excessive yield bond markets.”
The brand new agency will function as an impartial supervisor, with full management over origination, asset choice, portfolio building and portfolio administration.
The platform has obtained an anchor dedication from an entirely owned subsidiary of the Abu Dhabi Funding Authority, a sovereign wealth fund.
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“We’ve got the exceptional alternative to mix our agency’s deep capabilities in company credit score investing with entry to Barclays’ sturdy origination, sector and advisory experience to type a number one personal credit score platform,” mentioned AGL founder and chief govt Peter Gleysteen.
“As the standard leveraged finance and personal credit score markets proceed to evolve, this can be a synergistic extension of our market-leading specialised funding enterprise. We’re happy to collaborate with Barclays to supply its purchasers the personal credit score advantages of certainty, velocity and long-term funding alignment and individually for AGL to offer a personal credit score alternative to our investor universe.”
The brand new platform will incorporate key components of AGL’s funding mannequin with selections made by AGL’s funding committee and can be supported by the agency’s investing sources and operational infrastructure.
Gleysteen will lead AGL PC and its workforce of 11 funding professionals, together with Taylor Boswell, AGL’s head of personal credit score. AGL additionally lately employed Phil Capparis as chief danger officer to supervise danger administration throughout AGL’s investments, together with AGL PC.
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“That is the following step in constructing out Barclays’ personal credit score capabilities to enrich the top-tier functionality of our present Leveraged Finance platform, which continues to evolve and reply to market dynamics,” mentioned Taylor Wright, co-head of funding banking at Barclays.
“Throughout our consumer base, there’s a sturdy need to work with a single associate who can ship the total vary of financing options to fulfill their strategic goals and AGL’s sturdy funding capabilities and monitor document make them a really perfect collaborator for us on this enterprise.”
Hamad Shahwan Al Dhaheri, govt director of the personal equities division at ADIA, mentioned: “ADIA has been an investor in AGL because it launched in 2019, and this anchor dedication to AGL PC will assist the following part of the corporate’s progress. We see sturdy investing synergies from the mix of AGL and Barclays’ experience, making a differentiated personal credit score platform that goals to deal with a transparent market alternative.”
AGL Credit score Administration launched in March 2019 and has greater than $14bn (£11.1bn) in property beneath administration.
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The $1.7tn personal debt market is booming, with funding managers, banks and sovereign wealth funds all desperate to faucet into the sector’s enticing danger/return profile.
One other Abu Dhabi sovereign wealth fund, Mubadala Funding Firm, has invested in personal credit score funds managed by Apollo World Administration and Ares in latest months.
