Crescent Capital Group Closes Third Direct Lending Fund in the U.S., Raising $6 Billion in Investable Capital


LOS ANGELES, NEW YORK AND BOSTON–(BUSINESS WIRE)–Crescent Capital Group LP, a leading alternative credit investment firm, today announced the successful final closing of its third direct lending fund, Crescent Direct Lending Fund III (“CDL Fund III”), raising $6 billion in investable capital, including targeted leverage and separately managed accounts investing alongside the fund. CDL Fund III was significantly oversubscribed, exceeding its original target by more than $1 billion, with total equity commitments of $3.2 billion and targeted leverage of $1 billion. The fund was more than double the size of its predecessor, Crescent Direct Lending Fund II, which closed in November 2018 with $1.6 billion in equity commitments. The fund has attracted a diverse mix of US and international institutional investors, including leading insurance companies, pension funds, financial institutions, foundations and endowments. CDL Fund III is actively investing and has issued $1.6 billion in senior loan commitments to date.

“Our direct lending platform continues to grow, and with the scale of CDL Fund III, we are able to continue to offer our clients superior flexible capital to meet their business needs,” said Jean-Marc Chapus, managing partner and co-founder. of the Crescent Capital group. “This successful fundraising is a testament to the strength and appeal of Crescent Capital’s global private credit platform, and we appreciate our investors’ continued support of our longstanding strategies.”

“We are delighted with the strong support we have received from existing and new investors globally for Crescent Direct Lending Fund III,” said John Bowman and Scott Carpenter, co-heads of Crescent Direct Lending. “With $6.0 billion in total capital on CDL Fund III and related SMAs, we continue to manage one of the largest balance sheets focused on direct-issued loans to U.S. corporations backed by middle-market private equity. inferior. This balance sheet strength allows us to offer our private equity clients substantial capital for platform and add-on acquisitions with target holding capacities of $150 million to $200 million, and the ability to fund larger deals across the entire Crescent Capital platform. This strong capital base provides sponsors with a significant competitive advantage in terms of funding certainty, the ability to close large transactions quickly, and the ability to provide additional capital as their business grows.

About Crescent Direct Lending

Crescent Direct Lending is a leading agent and provider of Tier 1 and Unitranche financing to equity-backed lower-middle-market US companies with EBITDA of $5-35M+. Crescent Direct Lending offers flexible lending solutions to support leveraged buyouts, acquisition financing, refinancings and recapitalizations. Since its inception in 2005, the Crescent Direct Lending team has issued over $9.0 billion in global loan commitments to over 200 companies in a variety of industries and over 125 unique private equity sponsors .

About Crescent Capital Group LP

Crescent Capital Group is headquartered in Los Angeles with offices in Boston, London and New York. With over 95 investment professionals and over 200 employees, the firm invests at all levels of the capital structure, with an emphasis on lower quality credit through strategies that invest in senior bank loans , unitranche loans, high yield debt, mezzanine debt, and other private debt securities. As of December 31, 2021, Crescent Capital Group managed approximately $38 billion of privately-sourced debt and marketable securities. For more information about Crescent Capital Group, please visit crescentcap.com.

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