Bloomberg reported that Marc Schneider of Avenue Capital Group is planning to start his own hedge fund firm in an environment where investors are increasingly supplying capital in distressed strategies.

Bloomberg said Twelve Lions Capital, will focus on investing in “distressed, stressed and undervalued corporate securities and bank debt in North America and Europe.”

Citing data compiled by Chicago-based data provider Hedge Fund Research, Bloomberg noted that distressed hedge funds received about $7.5 billion in the first three quarters of 2014, up from $6.7 billion in 2013.

To read the entire Bloomberg article, click here.