Muzinich & Co., a global public and private credit manager, forged a strategic partnership with Eagle Point Credit Management to launch a European CLO business.
The two companies currently collaborate on 1988 Asset Management, a New York City-based affiliate of Muzinich. Launched in June 2022, the firm has priced and closed $2.5 billion in CLOs in the U.S., according to a statement from the company.
Expect the European strategy to closely mirror its approach in the U.S., according to Brian Yorke, portfolio manager for Muzinich.
The European platform, Yorke says via email, will focus on "high-quality loan investing, a low weighted average rating factor strategy, and a conservative credit profile."
Industry sources outside of Muzinich put 1988 Asset Management's AUM at more than $1.2 billion, which was last updated in June 2024.
Muzinich and Eagle Point's broadly syndicated U.S. CLO usually come to market under 1988 CLO, according to Asset Securitization Report's deal database, and various firms, including
Muzinich expects the partnership to issue CLOs regularly in Europe, supported by core pillars of its Eagle Point partnership in the U.S. that it expects to carry over smoothly in the new markets.
"While there may be structural differences to account for regional regulatory and market nuances," Yorke said, adding that "our investment philosophy and partnership framework with Eagle Point will remain consistent across both geographies."
