Deerpath Capital Successfully Resets 2021 Collateralized Loan Obligation

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Jul 25, 2024, 09:00 ET

NEW YORK, July 25, 2024 /PRNewswire/ -- Deerpath Capital Management, LP ("Deerpath"), one of the largest private credit managers in the U.S. lower-middle market, announced the reset and upsize of Deerpath CLO 2021-1, a $402.9 million collateralized loan obligation (CLO).

The CLO was originally sized at $362.9 million and priced in March 2021. This upsize and repricing represents the eleventh CLO issued by Deerpath since 2018 and brings the firm's total CLO assets under management to approximately $3.3 billion.

This is Deerpath's second CLO issuance in 2024, having closed Deerpath CLO 2024-1 at $452.6 million in April. Like all of the firm's existing CLOs, Deerpath CLO 2021-1 is secured by a portfolio of senior secured loans to middle market, private equity-backed companies, which have been primarily directly originated by the firm.

Deerpath sold securities rated from AAA through BBB- to third-party institutional investors, including insurance companies, pension funds, banks, and asset managers. Investor interest was global, with note buyers located in the US, Europe and Asia. Deerpath's managed funds purchased 100 percent of the subordinated notes issued by the CLO. The transaction closed on July 11, 2024, and the reinvestment period will extend through July 15, 2028.

Derek Dubois, Managing Director and Treasurer said, "Deerpath was able to take advantage of a very attractive CLO market and opportunistically reset and upsize one of our 2021 CLOs on very accretive terms. This is our second CLO transaction this year and demonstrates the programmatic approach to our CLO management."

GreensLedge Capital Markets LLC served as Lead Placement Agent, Structuring Agent and Bookrunner.

About Deerpath Capital Management, LP

Founded in 2007, Deerpath Capital Management, LP is one of the largest providers of customized, cash-flow based senior debt financing to lower-middle market companies across diverse industries. The firm currently manages approximately $7.5 billion of assets under management. For more information, please visit www.deerpathcapital.com.

Media:

Aidan O'Connor
Prosek Partners (On behalf of Deerpath Capital)
(646) 818-9283
[email protected]

SOURCE Deerpath Capital Management, LP