Arcmont Asset Management (“Arcmont”), a leading European private credit asset management firm and affiliate of Nuveen, today announces the final close of Capital Solutions Fund II and associated vehicles, raising total investable capital of c. €1.5 billion. The strategy capital has nearly doubled in size versus its predecessor, Capital Solutions I. It has attracted a diverse mix of investors including pension funds, endowments, insurance companies, family offices and sovereign wealth funds from North America, Europe and Asia.
Launched in 2020 and co-headed by Alice Cavalier and David Brooks, Arcmont’s Capital Solutions strategy originates bespoke financing opportunities with higher return potential, investing in more complex credits, junior capital and market dislocations. Arcmont views the strategy as highly complementary to its flagship Direct Lending strategy, leveraging deep origination capabilities and relationships to provide a broad range of financing solutions for Europe’s leading private equity sponsors.
Since launch the strategy has invested nearly €2 billion in more than 50 transactions. Capital Solutions II is currently c. 55% committed with a portfolio of more than 20 investments, evidence of the accelerating demand for this type of financing solution. The fund has completed a variety of bespoke transactions including the provision of constructive refinancing and liquidity solutions where debt is close to maturity, complex private lending to healthy companies in cyclical sectors, junior capital and purchases of secondary debt.
Over 15 years, Arcmont has raised c. €40 billion of investable capital across its Direct Lending, Senior Loan, NAV Financing, Impact Lending and Capital Solutions strategies and fostered a network of more than 120 sponsor relationships throughout Europe.
Anthony Fobel, CEO of Arcmont, said: “The growth of the Capital Solutions strategy is evidence of the strength and depth of the Arcmont platform across European private lending. Having last year launched NAV Financing and Impact Lending strategies, shortly after closing our largest ever Direct Lending fund at €10 billion, we are now well-positioned to capitalise on an increasingly complex lending environment to support the continued growth of Europe’s mid-market economy and deliver consistent returns to our loyal investor base.”
David Brooks, Partner and Co-Head of Capital Solutions, said: “This is a very pleasing result as we continue to develop the track record and scale of Capital Solutions at Arcmont. Given the attractive risk-return potential of the strategy, we were able to attract a large number of new investors while maintaining the support of our existing investors from Capital Solutions Fund I. We’d like to thank them for putting their trust in our team.”
Alice Cavalier, Partner and Co-Head of Capital Solutions, said: “We are very excited to have raised such a significant amount of capital for our Capital Solutions strategy, which has seen rising demand in recent years. An increasingly complex market and dealmaking environment mean that sponsors are turning to our flexible financing solutions to continue to supporting driving growth across the European middle market.”
