5C Funding Companions, a brand new personal credit score agency co-founded by two former Goldman Sachs executives, is ready to start investing with $1.6bn (£1.2bn) of obtainable capital.
5C will give attention to 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 buyers in personal markets,” mentioned founders and co-managing companions Tom Connolly and Michael Koester. “After 25 years working within the personal markets, we proceed to be keen about personal investing and are honoured to work with dedicated buyers, lend to forcing corporations, and collaborate with our proficient professionals.”
Learn extra: Oaktree’s Howard Marks makes case for elevated credit score allocations
5C enters the extremely aggressive area of senior direct lending, the place an ever-growing variety of personal credit score companies are jostling with banks for probably the most profitable offers. Minimal differentiation on charges signifies that it may be tough for brand spanking new entrants to claw market share.
Learn extra: Non-public debt AUM to hit $2.64tn by 2029
