Morgan Stanley Investment Management has raised USD1.6 billion for North Haven Credit Partners III (NHCP III), exceeding its original fundraising target by 29 per cent.
Investors in NHCP III, the successor fund to North Haven Credit Partners II, include public and private pension funds, sovereign wealth funds, insurance companies and individual investors. The Fund, managed by the Morgan Stanley Private Credit team, will focus primarily on junior capital investments in private North American businesses including 2nd lien debt, mezzanine debt, preferred equity and special situations.
“We are pleased with the strong support for NHCP III from new and returning investors which expands our substantial Private Credit business to over USD10 billion in investable assets including anticipated leverage,” says David N Miller, Head of Global Private Credit and Equity for Morgan Stanley Investment Management. “This latest offering builds on our long and successful tenure in the asset class as a flexible capital-solutions provider to the middle market.”
“We believe the Fund holds certain significant competitive advantages by having access to the Morgan Stanley network for deal sourcing, investment research, and due diligence,” adds Henry “Hank” D’Alessandro, Co-Portfolio Manager of NHCP III. “Coupled with a track record of investing across market cycles and optionality to hold publicly traded debt instruments during periods of dislocation, we believe NHCP III is uniquely positioned to deliver results to clients.”
“Our ability to structure and invest across the capital structure is a key differentiator within the private credit ecosystem,” says Ashwin Krishnan, Co-Portfolio Manager of NHCP III. “To date, we have already deployed more than 20 per cent of the Fund’s capital in investments that vary by size, sector and structure, reflecting our flexible approach to credit investing.”
