Investec Alternative Investment Management (IAIM), a subsidiary of Investec Bank plc (Investec), and Carlyle AlpInvest, have launched Investec’s inaugural European senior debt fund, Investec Senior Debt Fund I (SDF I), a private credit fund with approximately €400m of investable capital managed by the Investec Direct Lending team.
SDF I was established through an innovative credit secondary transaction, led by Carlyle AlpInvest, comprised of a secondary purchase of high-quality performing loans from Investec’s balance sheet to form a seed portfolio. In addition, Carlyle AlpInvest provided new capital which is available alongside this portfolio to invest in new direct lending investments.
The fund is a close-ended, Luxembourg-based special limited partnership focused on providing traditional senior secured loans for European private equity and corporate backed businesses between €3m-€50m EBITDA primarily based in the UK, Ireland, Benelux, and DACH regions. The strategy is focused on lending to high quality growth-orientated companies in the lower mid-market.
The launch of the fund complements the 2021 launch of the €250m Private Debt Fund I (PDF I) – focused on stretched senior and unitranche direct lending solutions – and PDF II which is forecast to have its final close in January, with a target of €500m.
The transaction was advised by Ely Place Partners, with legal advice from Travers Smith and K&E representing Investec and Carlyle AlpInvest respectively.
