Credit investment firm Park Square Capital has closed its fourth subordinated debt fund at 1.8 billion euros. Park Square Capital Partners IV’s investors included sovereign wealth funds, pension funds, insurance companies and family offices across Europe, the U.S. and Asia. The fund will invest in primary and secondary subordinated debt in both performing credit and dislocated debt.
Park Square Capital (“Park Square”), one of the world’s most established credit investment firms, today announces the final closing of its fourth subordinated debt fund, resulting in total investable capital of €2.2bn. Park Square Capital Partners IV and related vehicles (together “PSCP IV” or the “Fund”) raised €1.8bn of equity commitments, exceeding its target of €1.5bn. Including committed leverage, the strategy’s total investable capital is €2.2bn. This represents an increase of 48% over its predecessor fund, PSCP III, which had €1.5bn of investable capital.
PSCP IV follows the same disciplined, and cycle-tested strategy as its predecessor funds, investing in primary and secondary subordinated debt in both performing credit and dislocated debt. It focuses on being a good long-term partner to private equity firms, investing in market-leading stable companies across Europe and the US. The Fund takes a flexible approach that enables Park Square to invest successfully across market cycles, alternating between high-quality new transactions in normal market conditions and dislocated debt during periods of market volatility.
The closing of PSCP IV further enhances Park Square’s position as a leading independent private credit provider with multi-product solutions across mid-market direct lending, large-sized senior credit and junior debt.
PSCP IV attracted a broad mix of institutional investors by type and geography, including commitments from sovereign wealth funds, pension funds, insurance companies and family offices across Europe, the US and Asia.
Robin Doumar, Managing Partner at Park Square, said: “We would like to thank our investors for their support. The success of the fundraising reflects the continued development of the firm and the strong performance of the strategy through multiple credit cycles. We are excited by the robust pipeline of opportunities available to private credit as the world recovers from the Covid crisis.”
About Park Square Capital
Park Square Capital is a leading private debt manager, providing senior debt, subordinated debt and mid-market direct loans to companies in Europe and the US.
Park Square provides financing for high-quality companies backed by leading private equity sponsors. The firm has a selective, long-term and flexible investment approach, aimed at delivering attractive risk-adjusted returns across the market cycle.
Park Square currently manages approximately $10bn of capital on behalf of its investors, which include global public and private pension funds, sovereign wealth funds, insurance companies, family offices and asset managers. The firm was founded in 2004 and remains fully independent. Park Square has over 100 staff, with offices in London, Paris, New York, Luxembourg, Frankfurt and Seoul.