Arcmont Asset Management, an affiliate of investment manager Nuveen, has reached the high end of its fundraising target range for its latest European direct lending fund, with the fund attracting €10bn in capital commitments, according to a report by Bloomberg.
The report cites a statement from Arcmont as confirming that the fund, the fourth devoted to the London-based firm’s direct lending strategy, has already committed about 55% of the capital. Launched in 2011, Arcmont’s Direct Lending strategy invests in a defensive, diversified portfolio of mainly first lien senior and unitranche loans, as well as second lien and subordinated loans. Arcmont can also hold equity or warrant positions alongside those loans, providing upside potential through equity participation in select situations.
Arcmont’s fundraising success comes as private credit managers continue to attract large sums from institutional investors for their direct lending strategies. Ares Management, for one, is reportedly closing in on a record €20bn – including leverage – for its European direct lending fund, while Hayfin Capital Management is looking to raise more than €8bn from institutional investors for its fifth Europe-focused fund.
