Charlesbank wraps up second credit fund

Charlesbank Capital Partners has closed its second credit fund at over $700 million, beating its $500 million target.

Charlesbank Capital Partners has closed its second credit fund at over $700 million, beating its $500 million target. The fund’s investors include public and corporate pensions, endowments, foundations, financial institutions, asset managers and family offices, as well as high-net worth individuals. Monument Group and GrovePeak were the placement agents.

PRESS RELEASE

BOSTON, July 7, 2020 – Charlesbank Capital Partners is pleased to announce it has completed fundraising for Charlesbank Credit Opportunities Fund II (“COF II” or the “Fund”). The Fund had a $500 million target and received limited partner commitments in excess of its $700 million hard cap.

Established in 1998, Charlesbank is an experienced middle-market private equity firm with a strong history of investing across a range of core sectors and business cycles. In 2016, the firm launched its integrated credit strategy, designed to benefit from the insights and unique opportunities arising from Charlesbank’s long-term private equity platform. Consistent with its predecessor fund, COF II will focus on credit investments in established middle-market companies, primarily in North America and with average enterprise values between $150 million and $1.5 billion.

“We believe the attractiveness of our credit strategy stems from our differentiated investment approach which leverages Charlesbank’s proprietary insights, extensive network and strong diligence capabilities in a fully integrated investment process,” said Sandor Hau, a Managing Director at Charlesbank and Head of the Credit team. “We expect to see continued opportunity to invest in mispriced credit risk and look forward to putting our investors’ capital to work with the goal of generating attractive, risk-adjusted returns.”

The investor base for COF II, which held its final closing on July 2, 2020, comprises a diverse group of more than 30 institutional investors including public and corporate pensions, endowments, foundations, financial institutions, asset managers and family offices, as well as high net worth individuals. “We are grateful for the support and confidence in Charlesbank from our investors, both existing and new, and are pleased with the success of this fundraising, particularly during these unprecedented times,” said Maggie Sahlman, Head of Investor Relations at Charlesbank.

“Our strategy is particularly well-suited to the current investment environment and we have a strong capital base to invest in the compelling credit opportunities in our pipeline,” said Brandon White, a Managing Director at Charlesbank and Co-Chair of the Credit Investment Committee.

In addition to COF II, Charlesbank is currently investing its ninth Flagship Private Equity fund, which has $3.0 billion in total commitments. The firm also launched its Technology Opportunities strategy in 2019, which held a final close for its first fund earlier this year at the hard cap of $700 million in limited partner commitments.

Monument Group and GrovePeak served as placement agents to Charlesbank on the raising of COF II. Goodwin served as legal counsel.

About Charlesbank Capital Partners
Based in Boston and New York, Charlesbank Capital Partners is a middle-market private equity investment firm managing more than $6 billion of capital. Charlesbank focuses on management-led buyouts and growth capital financings and also engages in opportunistic credit and technology investments. The firm seeks to build companies with sustainable competitive advantage and excellent prospects for growth. For more information, please visit www.charlesbank.com.

About Monument Group
Monument Group is a leading, independent private fund placement agent managed by a senior team with significant buy-side investment heritage. Since its inception in 1994, Monument Group has assisted a range of general partners around the world to raise 107 funds, totaling more than US$106 billion of equity. These clients represent a broad variety of investment strategies including buyouts, debt, distressed, energy and natural resources, growth, infrastructure and real estate. Monument Group has offices in Boston, London, Hong Kong and Tokyo. Monument Group also has a strategic alliance with boutique secondaries advisor Mozaic Capital. For more information on Monument Group’s primary and secondary capabilities, visit www.monumentgroup.com.