The Carlyle Group has acquired $4.2 billion worth of CLOs and $950 million worth of managed accounts from Stanfield Capital Partners, increasing the size of its credit assets under management to $18.1 billion from $13 billion.
The $4.2 billion in Stanfield CLOs would grow Carlyle’s CLO assets under management to $14.4 billion from $10.2 billion, a 40% increase.
“Scale is critical to the CLO business,” Mitch Petrick, head of the global credit alternatives and capital markets group at Carlyle, said in a release. “With this purchase, Carlyle would become one of the world’s largest structured credit managers and an industry consolidator.”
Carlyle acquired the CLOs and the managed accounts through an auction. The managed accounts are invested primarily in speculative-grade corporate loans.
“These are premier assets and among the best we are going to see in this market,” Linda Pace, head of portfolio management for Carlyle’s structured funds, said in the release.
Financial terms were not disclosed.
Carlyle's global credit alternatives business is comprised of leveraged finance, mezzanine and distressed products, with 24 funds managed by 57 managers.