Kellie Ell’s Post

As a long-time participant in the private credit market, Rene Canezin commented on how the market has evolved, with a focus on the last decade: “The market continues to grow quite substantially, but it has grown consistently with the economy over the last decade. The net debt available is consistent with market growth, but there has been a reallocation of private market growth at the expense of other markets, primarily bank financing and the larger public financial market instruments, such as bonds and syndicated loans.”    For more of Evolution’s insights, read the full story here: https://lnkd.in/gbr3PAFS     Mergers and Acquisitions - themiddlemarket.com  Jamie Kimon’#privatecredit

TPG has reported 65 per cent year-on-year growth in its assets under management (AUM) to $229bn (£180bn) in the second quarter, boosted by its acquisition of credit and real estate manager TPG Angelo Gordon last year. The alternative asset manager’s credit division saw its AUM rise 10.1 per cent from $61.3m at the start of the quarter to $67.5m as of 30 June. This was accompanied by more marginal AUM growth in other segments, such as capital and impact. https://lnkd.in/e8hFqsee

Before we all tune in... 🏈 or for a Monday morning ☕ : Mergers & Acquisitions activity is only anticipated to increase this year due to the greater stability of the private credit market, despite high interest rates and continued fears over the economy. 📈 Not only was this predicted in the latest Association for Corporate Growth (ACG) member survey, but by various leaders across the private equity and asset management industry. Bailey McCann in #MiddleMarketGrowth does a great job interviewing various leaders regarding the current trend of private equity engagement and the cause behind the anticipated M&A activity, where asset management firms continue to avoid big banks as competitors for lending. #projectmanagement #consultingservices #privateequity #middlemarket #mergersandacquisitions

Private credit continued to gain traction as an asset class, as evidenced by Goldman Sachs' recent achievement of amassing a formidable $21 billion war chest for senior direct lending strategies. Here is the breakdown:  - 𝐔𝐒𝐃 13.1𝐁  --> West Street Loan Partners V (including LP equity commitments, long-term asset financing, and GS's balance sheet) - 𝐔𝐒𝐃 550𝐌 --> Co-investment vehicles - 𝐔𝐒𝐃 7𝐁 --> Separate accounts GS has set an ambitious target to more than double its private credit portfolio to USD 300B from the current USD 130B within the next five years! Notably, in addition to institutional investors, commitments have been made by wealthy retail clients and UHNWs. An increasing number of banks and asset managers are tapping into private wealth for capital fundraising. West Street Loan Partners V has invested or committed USD 4 billion across 37 portfolio companies. Goldman Sachs Asset Management #privatecredit #M&A #merger #acquisitions #directlending #privatewealth #seniorlending #UHNW #institutionalinvestors #alternatives #GoldmanSachsAlternatives #returnofcapital

Bloomberg -- Ares Amasses $34 Billion Pool in Private Credit Milestone "Ares Senior Direct Lending Fund III raised about $15 billion in equity commitments, above its $10 billion target. The fund’s total capital is more than double that sum when including leverage and separately managed accounts. Ares, which manages $428 billion, has already put $9 billion of the fund to work. The creation of such a massive fund underscores the momentum in the roughly $1.7 trillion industry. The Los Angeles-based firm’s newest fund is also meaningfully larger than the prior vintage of the strategy, which closed in December 2021 with $8 billion of equity commitments and nearly $15 billion of available capital including leverage. Market watchers have questioned how so much money can be put to work when there’s been a dearth of new deals in the buyout world, a typical target of direct lending. Ares expects a pick-up in activity after a muted first quarter for lending to new mergers and acquisitions." https://lnkd.in/ekdCHVar

“As far as M&A, we believe there will be an increase this year. We’re starting to see trickles of that in the leveraged loan market – there’s stability in the market, and financing markets are wide open. So, if you want to acquire a company and use loans to back it, it’s available to you… We expect to be busier with M&A than we were last year.” – Lauren Basmadjian, Global Head of Liquid Credit at Carlyle Lauren joined Alix Steel and Romaine Bostick, CFA on Bloomberg to discuss the state of the leveraged loan market and the outlook for M&A activity. Carlyle, as one of the largest #CLO managers globally with over $50 billion in assets, has access to extensive lending data from over 600 US companies. Watch here: http://spr.ly/60439AFIW

We help Specialty Finance Companies and Non Bank Lenders of all kinds Scale The headline says it all. We do this using our vast private credit network and insurance financing networks. It is worth noting once again, that not all private credit providers and lenders are created equal. Not all "products" work for all companies. We don't believe in one size fits all products, we believe in customization client by client. Every client is different and every client need is different and nuanced. We are very active in helping clients create: New SPV custom credit facilities, Loan on Loan Financings other forms of portfolio credit and leverage facilities to help our clients grow. www.cambridgewilkinson.com Capitalize on Our Connections hashtag #scale hashtag #privatecredit hashtag #insurancecredit hashtag #creditlines hashtag #growth hashtag #leverage hashtag

The M&A market has been experiencing a significant slowdown, with deals dipping below 10,00 for three of the last four quarters. High interest rates have been casting a long shadow over the M&A landscape making it more challenging for companies to secure the financing needed to pursue acquisitions. However, while these conditions may seem daunting, they also present unique opportunities for those who are strategic and adaptable. Here are some strategies and tips to help navigate turbulent times in the M&A market: ✅Focus on strategic fit over scale: In a high interest rate environment, it's crucial to prioritize acquisitions that offer a strong strategic fit over those that only add scale. ✅Strengthen due diligence: With financing being difficult to secure, every dollar counts. Now more than ever, conducting thorough due diligence to ensure you're making the right investment is key. ✅Emphasize post-merger integration: With fewer deals happening, the ones that do close need to succeed. Emphasize post-merger integration from the outset to ensure the investment fulfills its potential rapidly. While the current M&A market presents challenges it also offers opportunities for those willing to be patient, adapt, and think creatively. #M&A #InvestmentMarket #InterestRates #InvestmentStrategy

After M&A activity in 2022 hit an all-time high, activity has slowed 17% in 2024 compared to the same time period in 2023. But even though we have seen a slight uptick in activity in the second quarter, the RIA industry still experienced a greater decline than the broader M&A market. Is this trend here to stay? Find out in our latest update. https://lnkd.in/gJAB23Sz | #mergersandacquisitions #transactions #RIA #update