3i Debt Management, one of the biggest managers of European collateralized loan obligations, has closed on its first U.S. deal of the year.
The $750 million Jamestown VI will principally invest in U.S. dollar denominated senior secured loans issued by sub-investment grade rated, U.S domiciled companies. It has a four-year investment period and a non-call period of two years.
The deal issued two tranches of senior notes with a AAA’ ratings from Fitch Ratings: a $410 million tranche that pays Libor plus 160 basis points and a $70 million tranche that pays a fixed rate of 3.163%.
Fitch does not rate the class A-2, B, C, D and E notes or the subordinated notes.
“We have continued to see appetite from investors in the early part of 2015 and are pleased to have raised our first US CLO fund of 2015, Jeremy Ghose, CEO and managing partner of 3i Debt Management, said in a statement published today. “Jamestown VI is our biggest CLO to date and we continue to benefit from strong investor following.:
3iDM was established in 2011. As of Sept. 30, it managed 32 funds and had total assets under management of approximately $11 billion, on a pro forma basis.
Moody’s Investors Service rates the firm as the fourth largest European CLO manager by assets ($2.4 billion) and the sixth largest by number of deals (8) as of December 2014. But the firm has yet to enter the big leagues of the U.S. market, where the top manager by deals is CIFC, with 32 and the top manager by assets is Credit Suisse Asset Management, with $13.1 billion.
