Brigade bags $1bn for oversubscribed private credit debut

Brigade Capital Management has raised $1bn (£733m) at the final close of its inaugural private credit fund.

The global asset manager said the Brigade Private Credit Solutions Fund was oversubscribed and will focus on first lien direct loans to lower-to-middle market and non-sponsor borrowers.

Brigade added that the fund will target less efficient segments of the market and pursue select opportunistic investments.

“There is a clear complexity premium in the private credit market, particularly in the lower-to-middle market and non-sponsor channels that remain less competitive than larger transactions that potentially compete with the liquid market,” said Jenny Lee, co-head of private credit.

Founded in 2006, Brigade is a global asset manager with approximately $31bn in assets under management, investing across public and private credit strategies.

“We believe there is a distinct market opportunity for direct lenders who bring the sophistication and sector expertise of a scaled, multi-strategy credit platform to the markets we target,” said Jim Wolf, co-head of private credit. “As high-quality sponsor-backed and non-sponsor borrowers increasingly embrace the speed, certainty and flexibility of private credit solutions, we view our offering as especially well positioned to meet their evolving needs.”