MidOcean raises $600 mln for 7th CLO

MidOcean Credit Partners has closed its seventh collateralized loan obligation at $600 million. Goldman Sachs led the transaction. MidOcean Credit CLO VII is backed by mostly senior loans and will have a four-year reinvestment period.


NEW YORK–(BUSINESS WIRE)–MidOcean Credit Partners, an affiliate of MidOcean Partners, a premier New York-based alternative asset manager, today announced the closing of a $600 million collateralized loan obligation (“CLO”), MidOcean Credit CLO VII. The transaction was led by Goldman Sachs & Co. The CLO will be backed by a portfolio of primarily senior-secured leveraged loans and will have a four-year reinvestment period and a two-year non-call period. The transaction is MidOcean’s first CLO structured to comply with U.S. risk-retention rules.

Jim Wiant, Managing Director at MidOcean Credit Partners, said, “The successful closing of CLO VII, MidOcean’s largest CLO to date, demonstrates our ability to structure transactions that meet the demands of our investors in a dynamic regulatory environment. We are focused on continuing to generate strong performance for investors across our CLOs both in terms of overall portfolio credit quality and our ability to deliver attractive equity distributions with modest credit risk.”

Steve Shenfeld, President of MidOcean Credit Partners, added, “Our experienced credit team has significant expertise investing and managing CLO portfolios. We are excited about the growth of MidOcean’s CLO business and believe it offers investors a compelling risk-adjusted return opportunity.”
MidOcean has closed seven CLOs totaling approximately $3.1 billion since the inception of the CLO platform in January 2013.

About MidOcean Partners
Established in 2003, MidOcean Partners is a premier New York-based alternative asset manager that specializes in middle market private equity and alternative credit investments. Since inception, the focus of MidOcean’s private equity funds has been on high-quality middle market companies with attractive strategic, operational and financial growth opportunities in the Consumer and Business Services sectors. MidOcean Credit Partners was launched in 2009 and manages approximately $6.2 billion across a series of alternative credit strategies, collateralized loan obligations (“CLOs”), and customized separately managed accounts. For more information, please visit MidOcean’s website (www.midoceanpartners.com).