Brightwood Capital Advisors, a middle-market private credit firm, deployed nearly $2 billion of capital to 35 new borrowers in fiscal year 2022.
This volume of investment activity was spurred by asset growth across Brightwood’s portfolio throughout the year, with the firm’s assets-under-management (AUM) surpassing $5 billion in 2022.
Brightwood also continued to demonstrate its financing capabilities, most notably through the demand from new and existing investors for its CLO platform. The $426 million Brightwood Capital MM CLO 2020-1. Reset priced amidst a challenging market environment at year-end, which represents the fourth CLO issued by the firm since 2019.
“Our team selectively deployed capital across our five core industry verticals, deepening our private equity sponsor relationships while also working closely with our non-sponsored businesses to deliver value-added partnership,” Sengal Selassie, CEO and managing partner of Brightwood, said. “We continue to build and strengthen our platform by growing our portfolio, deepening our institutional relationships, securing financing and focusing on operational excellence. We are taking a strategic approach to our business and believe that our talented professionals will continue to drive value as we provide flexible, specialty tailored financing solutions.”
The growth across Brightwood’s platform has led the firm to meaningfully add to its team since the beginning of 2022. The most significant hiring activity has been in the risk and portfolio monitoring team. Some of the staff additions include:
- Eric Pratt as chief credit officer
- Natalie Hojnacki as managing director and chief of staff to the CEO
- Kristan O’Connor as managing director of risk and portfolio monitoring
- Aized Rabbani as managing director of origination
- Fred Jelks as managing director of risk and portfolio monitoring
- Chris Warren as director of capital markets
- Brett Murray as director of risk and portfolio monitoring
2022 Investment Activity Highlights
Brightwood led a $300 million senior secured credit facility financing to Giving Home Health Care, a skilled and unskilled home health and home aid service provider, to support its partnership with FS Investments and to fund its strategic growth initiatives.
Vehicle Management Solutions
Brightwood acted as sole lead arranger and administrative agent to provide a senior secured credit facility in support of Mill Point Capital’s acquisition of Vehicle Management Solutions, a provider of vehicle management services for both public- and private-sector clients.
Brightwood acted as sole lead arranger and administrative agent to provide a senior secured credit facility in support of Red Arts Capital’s acquisition of Coregistics, a provider of packaging-centric supply chain solutions, including process design, procurement, contract packaging and third-party logistics.
Brightwood acted as sole lead arranger and administrative agent for a senior secured credit facility in support of BeringerCapital’s investment in VeraData, a decision science company that leverages next generation analytics and omni-channel data to optimize direct marketing campaign results.