EQT has held the final closing of its second European direct lending fund, EQT Mid-Market Credit II (the fund) with commitments equivalent to EUR2.3 billion of available capital, including anticipated leverage.
Since the launch in 2008, the EQT Credit platform has raised over EUR6 billion and invested over EUR5.1 billion in over 170 companies.
The fund will continue EQT Credit’s strategy of providing financing solutions to European mid-market companies, with a focus on high-quality performing businesses with defensive characteristics. Over 30 per cent of the Fund has already been committed in 12 investments, including recent financings for Medifox, Dukes Education and VPS.
Investors in EQT Mid-Market Credit II include a diverse group of European, Asian and North American pension funds, insurance companies, endowments, foundations and family offices.
Paul Johnson, Partner at EQT Partners, Investment Advisor to the Fund, says: “We are confident that the significant opportunities in the market play to EQT Credit’s strengths as a due diligence-focused investor with the ability to leverage the knowledge that resides in EQT having invested in the same geographies and industries over the last 24 years. Thanks to the strong support demonstrated by existing and new investors, the Fund is well positioned to capitalise on these opportunities over the coming years as the direct lending market continues to grow across Europe.”
Andrew Konopelski, Partner and Head of EQT Credit at EQT Partners, says: “Our focus on local sourcing and diligence, supported by EQT’s network of Industrial Advisors, as well as the capacity to invest in a broad range of situations, has been key to EQT Credit’s investment approach over the last ten years. The EQT Credit platform has developed significantly and we are looking into ways of transforming and broadening the offer even further.”
“The growth of the EQT Credit platform has been extremely successful and complements EQT’s offering across the entire spectrum of alternative investments. The Fund far exceeded its initial target, which further confirms investors’ appetite for this asset class as well as their support and trust for EQT and EQT Credit. With a strong ten-year track record in the market and an experienced investment advisory team led by Andrew Konopelski, EQT has firmly cemented its position as an integrated capital provider across the full range of risk profiles,” says Thomas von Koch, CEO and Managing Partner at EQT.
The fundraising for EQT Mid-Market Credit II has now closed. As such, the foregoing should in no way be treated as any form of offer or solicitation to subscribe for or make any commitments for or in respect of any securities or other interest or to engage in any other transaction.
