On Friday, July 29, the Paris-based Tikehau Capital, a global alternative asset management company, revealed that it has successfully funded a record-breaking €3.3 billion for its fifth direct lending vehicle. The fund is 57% larger than its predecessor, which raised €2.1 billion in 2019.
The capital is made up of specially designed and specialised investment instruments as well as Tikehau Direct Lending V (“TDL V”), the group’s flagship direct lending fund, which is finishing up its final closure.
TDL V, which was introduced in 2020, provides a variety of specifically designed financing options for SMEs in Europe. Tikehau Capital claims to be the first to offer private debt financing integrating ESG criteria and has grown its competence in senior stretched, unitranche, mezzanine, and PIK notes financing since 2007.
Several investors, including family offices, pension funds, and insurance firms, contributed to the fundraising. In this fifth vintage, the direct lending method attracted subscribers from the previous generation who renewed and increased their commitment by about 60%, according to a statement by Tikehau Capital.
Over 35% of the capital subscriptions came from investors who were clients and were based outside of Europe and outside France.
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