Private-credit firm 5C Investment Partners, founded by former Goldman Sachs partners, has secured $1.6bn to launch its direct-lending initiative, targeting senior direct-lending deals, according to a report by Bloomberg.
The report cites the company’s founders and Co-Managing Partners, Tom Connolly and Michael Koester, as confirming that the funding includes leverage and a co-investment programme, with Liberty Mutual Investments and Michael Dell’s family office, DFO Management, as anchor partners.
In a statement, the pair said that 5C aims to fund companies with “durable competitive advantages” in the upper middle market, defined by earnings before interest, taxes, depreciation, and amortisation (EBITDA) of $50m or more. The firm will generally lend to private equity-backed companies but is also open to partnerships with family-owned businesses and other firms outside the private equity space.
Prioritising resilient industries, 5C plans to invest in sectors like software, business services, and parts of healthcare and financial services, with room to explore other areas as opportunities arise.
Initially, 5C’s investments will range between $50m and $100m, with plans to increase cheque sizes as the firm grows.
