Advantage Insurance Holdings Ltd, an insurance provider based in the Cayman Islands, said Monday that it has named GSO Capital Partners to serve as Advantage’s exclusive portfolio advisor. In this role, GSO will be responsible for investing capital into loans, CLOs and other corporate credit investments. GSO is the credit investment affiliate of The Blackstone Group.
GRAND CAYMAN, Cayman Islands–(BUSINESS WIRE)–Advantage Insurance Holdings Ltd. (“Advantage”) today announced that it has entered into a long-term agreement for GSO Capital Partners LP (“GSO”) to serve as Advantage’s exclusive portfolio advisor. GSO, the credit investment affiliate of The Blackstone Group L.P. (NYSE: BX), will be responsible for deploying the capital and surplus of Advantage’s licensed insurance subsidiaries into secured bank loans, collateralized loan obligations (“CLOs”) and other corporate credit investments.
“We are extremely pleased that GSO has partnered with Advantage to deliver GSO’s loan investing expertise to the growing market for customized insurance products,” stated Walter Keenan, CEO of Advantage. “With our new GSO partnership, Advantage’s clients and shareholders will benefit from the access GSO provides to senior secured, floating-rate loans and CLOs that have historically been held by banks and large institutional investors.”
Dan Smith, Senior Managing Director of GSO, added, “The GSO team is excited about applying our credit investing skills to Advantage’s insurance-related investments, and we look forward to a long and productive partnership with Walter and the Advantage team.”
The Advantage portfolios will be managed by GSO’s London based affiliate, GSO Capital Partners International LLP, and specifically by Mark Moffat. Mr. Moffat is a Senior Managing Director of GSO, and also serves as the primary portfolio manager for another GSO managed product that holds a diversified portfolio of CLO investments.
Advantage Insurance Holdings Ltd., through its operating subsidiaries, provides customized insurance products and services to businesses and individuals worldwide. Founded in 1993 by Ian Kilpatrick, Advantage today serves over 200 clients and administers over $1 billion of insurance assets from its headquarters in Grand Cayman and branch offices in Charleston, South Carolina and Scottsdale, Arizona. Advantage’s primary lines of business include captive insurance management, private placement life insurance and alternative risk transfer services. Additional information is available on the company’s website: www.aih.com.ky.
About The Blackstone Group and GSO Capital Partners
Blackstone is one of the world’s leading investment and advisory firms. Blackstone seeks to create positive economic impact and long-term value for its investors, the companies it invests in, the companies we advise and the broader global economy. Blackstone does this through the commitment of its extraordinary people and flexible capital. Blackstone’s credit business, GSO Capital Partners LP, with approximately $58 billion of assets under management as of March 31, 2013, is one of the largest credit-oriented alternative asset managers in the world and a major participant in leveraged finance. GSO specializes in collateralized loan obligation vehicles (CLOs) and credit-oriented funds, which include leveraged loans, special situations, mezzanine, distressed, secondary market and rescue financing credit strategies. Blackstone’s other alternative asset management businesses include the management of private equity funds, real estate funds, hedge fund solutions and closed-end funds. Blackstone also provides various financial advisory services, including financial and strategic advisory, restructuring and reorganization advisory and fund placement services.