Paul Hastings has advised CVC Credit Partners on the structuring and establishment of CVC Credit Partners Global CLO Management Limited, providing CVC Credit with risk retention capital for its global CLO business.
The investment entity, CVC Credit Partners Global CLO Management Limited, reached its final close in June at the very top end of its target of USD600 million.
CVC Credit Partners Global CLO Management Limited will have the exclusive right to take majority positions in CLO equity of CVC Credit Partners’ US and European CLOs with the intent to comply with both the US and European CLO risk retention rules.
Christian Parker, Paul Hastings’ lead partner, says: “We are delighted to have been able to assist CVC Credit Partners on such an important transaction, that we believe to be one of the first capital raises of its kind to establish a third party source of equity investment in a global CLO business and with a platform to achieve regulatory compliance in both the US and Europe.”
The Paul Hastings team was led by partner Christian Parker and featured a core team of Karen Stretch, Karina Bielkowicz, Shanel Hassan, Zach Benson, and Oliver Elsaesser; tax partner Arun Birla and senior associate Jiten Tank in London and counsel David Makso in New York; US. regulation counsel Wendell Faria in Washington DC; and London partner Peter Schwartz provided assistance on US securities issues.
Mourant Ozannes LLP served as a Jersey counsel; Linklaters LLP provided Luxembourg law advice; Cadwalader, Wickersham, Taft LLP provided regulatory advice in the US and the EU; and Herbert Smith Freehills LLP advised Goldman Sachs, the joint placement agent.
