Sierra Income Announces Joint Venture
Sierra Income formed a joint venture with a premier U.S. provider of property and casualty insurance, creating Sierra Senior Loan Strategy JV I. The joint venture is expected to invest primarily in middle market and other corporate debt securities, a natural extension of Sierra’s leading origination and underwriting franchise.
Sierra and the JV Partner have committed to provide an aggregate of $100 million of equity to the joint venture, with Sierra providing $87.5 million and the JV Partner providing $12.5 million. In addition, SIC SLS JV is in discussions with third party financing providers to provide the joint venture with a credit facility. Sierra and the JV Partner anticipate beginning to fund the joint venture with new investments in May 2015.
“We are pleased to build this strategic partnership with a leader in the U.S. insurance industry with deep expertise in credit investing,” said Seth Taube, Sierra’s CEO and chairman of the Board of Directors. “We expect that this joint venture will be additive to Sierra’s return on equity as well as net investment income per share.”
SIC Advisors is an affiliate of Medley Management.