Natixis Arranges $415.7 Million CLO, Cerberus Loan Funding XV L.P.
Natixis announced today that it arranged a $415.7 million CLO, Cerberus Loan Funding XV L.P. The notes are backed by a revolving pool consisting primarily of US dollar-denominated middle market senior secured loans.
The portfolio will be managed by Cerberus ICQ Levered Loan Opportunities Fund, L.P. with support provided under a services agreement with Cerberus Capital Management II, L.P.
Michael Hopson, Co-Head of Natixis US CLO & Structured Credit, said, “Natixis is proud of its longstanding and Tier 1 partnership with market-leading Cerberus Business Finance, which continues to set a high performance bar for non-bank direct lenders in the US middle market loan space.”
Daniel Wolf, CEO of Cerberus Business Finance, stated, “Cerberus Business Finance is pleased to complete yet another financing transaction with the Natixis team, who has been a valuable capital provider to our Firm for over 17 years.”
Keith Read, President of Cerberus Business Finance, said, “We are excited about the successful completion of this transaction. As the size and quality of our loan origination volume continues to show strong growth, we are encouraged by the capital markets’ ongoing support of our business and financing needs.”
The pricing details are as follows:
ASSET TYPE: Primarily senior secured middle market loans DEAL SIZE: $415.7 million ARRANGER: Natixis Securities Americas LLC
NON-CALL PERIOD: 2 years REINVESTMENT PERIOD ENDS: March 7th, 2020 LEGAL FINAL MATURITY: 10 years PRICE DATE: August 11th, 2016 SETTLE DATE: September 7th, 2016 PAYMENT FREQUENCY: Quarterly on the 16th of January, April, July and October, commencing in January 2017
This transaction has been structured with the intent to comply with Article 405 of the Capital Requirements Regulation (Regulation (EU) No 575/2013.)
Established in 1992, Cerberus Capital Management, L.P. is one of the world’s leading private investment firms. Cerberus has more than $30 billion under management invested in four primary strategies: control and non-control private equity; distressed securities & assets; commercial mid-market lending and real estate-related investments.
For over 20 years, Cerberus Business Finance, LLC (including predecessor entities, “CBF”) has been a leading direct lending business in the United States and currently has $7.7 billion of AUM. CBF has a 17-year track record of managing CLO structures and other third-party leverage facilities in support of its lending funds and vehicles owned by public and corporate pension funds, sovereign wealth funds, insurance and other financial institutions, educational and charitable foundations, family offices, fund-of-funds and individuals. Entities managed by the CBF team have previously issued leverage facilities (including 14 facilities structured as CLO's) with a total of $13.1 billion in commitments.