Deerpath Capital Successfully Resets 2018 CLO Amid Market Volatility
NEW YORK, July 12, 2022 /PRNewswire/ — Deerpath Capital Management, LP (“Deerpath”), one of the largest providers of customized, cash-flow based senior debt financing to lower-middle market companies across North America, today announced the reset of Deerpath CLO 2018-1, a $310 million collateralized loan obligation (CLO).
The repricing of Deerpath’s CLO 2018-1 represents the sixth CLO issued by Deerpath since 2018 and brings the firm’s total CLO assets under management to approximately $1.8 billion. This is the second CLO issued by Deerpath this year, having closed Deerpath CLO 2022-1 at $375 million in May. Like all of the firm’s existing CLOs, Deerpath CLO 2018-1 is secured by a portfolio of senior secured loans to middle market, private equity-backed companies, which have been primarily directly originated by the firm.
Deerpath sold securities rated from AAA through BBB- to third-party institutional investors, including insurance companies, pension funds, banks, and asset managers. Deerpath’s managed funds purchased 100 percent of the subordinated notes issued by the CLO. The repriced CLO has a three-year reinvestment period.
Derek Dubois, Managing Director and Treasurer said, “Deerpath has continued to access the CLO market during 2022 despite the ongoing volatility in the broader markets. This is a testament to the strength of our growing lending and CLO platform. We are very excited to have locked in attractive long term portfolio financing for our fund investors.”
The news also follows Deerpath launching its newest international office last month in London, England, to better serve European institutional demand for Deerpath’s differentiated private credit solutions.
GreensLedge Capital Markets LLC served as Lead Placement Agent, Structuring Agent and Bookrunner. KeyBanc Capital Markets served as Co-Placement Agent.
ABOUT DEERPATH CAPITAL
Founded in 2007, Deerpath Capital Management, LP is one of the largest providers of customized, cash-flow based senior debt financing to lower-middle market companies across diverse industries. For more information, please visit www.deerpathcapital.com.
MEDIA
Aidan O’Connor
Prosek Partners (On behalf of Deerpath Capital)
(646) 818-9283