€1.2 billion raised for European Mid-Market Debt Fund
Overview
Pemberton, the independent asset management group backed by Legal & General, today announces the final close of its European Mid-Market Debt Fund, which has attracted Institutional commitments totalling €1.2 billion.
The strategy has attracted a diverse global investor base, with investors from Europe, the US and Asia. These investors include leading insurance companies, pension funds, family offices and foundations. Legal & General Capital and Illinois Teachers Retirement System are among the 27 institutions to commit capital to the Fund.
With this inaugural strategy, Pemberton is providing senior debt financing to mid-market borrowers in Europe, focusing on companies with a turnover between €75 million and €1 billion. Pemberton has already deployed 46% of the Fund capital, investing over €540 million in 13 companies across the UK, France, Germany, Italy and Spain. This portfolio is a mix of both corporate and sponsor backed investments sourced from its local Pan-European network.
Raising €1.2bn for our inaugural strategy is a significant accomplishment and I am very pleased that the hard work of the team has been appreciated by our investors. It demonstrates both the demand from real money investors for compelling direct lending opportunities and the confidence they place in Pemberton’s ability to deliver attractive and stable returns. As the private debt market matures, we are very well-placed to play a significant role in this increasingly important asset class.
– Keith Jones, Chairman at Pemberton
When we launched this strategy in 2015, high-quality European companies were struggling to access finance to fuel their growth, traditional lenders were looking for partners to share financing, and investors were seeking long-term sustainable returns in a low yield environment.”
“We believed that the solution was in combining institutional capital with relationship banking, transmitted through a strong risk management and credit underwriting platform. With this approach for the Fund, and our recently launched UK mid-market debt strategy, we have created a platform that has met the objectives’ of these three key stakeholders to European corporate growth. As a result, we have delivered a strong alliance of quality companies, regional lenders and institutional investors that we will continue to build on in the future.
– Symon Drake-Brockman, Managing Partner at Pemberton
Citigroup acted as lead placement agent for the fundraising, private markets advisory firm Arbour Partners worked with investors in the UK, and ERJ Group/Langschiff Partners worked with North American investors.
This Fund shows the way forward for the European private debt market. Pemberton is simultaneously engaging in partnerships with the banks to source investments and providing an investable fund solution for educated investors.
– James Newsome of Arbour Partners
