Private credit firm Brightwood Capital Advisors closed Brightwood Capital MM CLO 2024-2, a $707 million collateralized loan obligation, marking the firm’s seventh CLO since 2019 and bringing its total CLO issuance to more than $3.5 billion. According to Brightwood, this CLO represents the second largest new issue middle-market CLO this year.

Brightwood closed on AAA through BB securities from third party investors, including insurance companies, banks and asset managers. GreensLedge Capital Markets served as arranger and lead placement agent for the transaction, while NatWest Markets Securities served as co-placement agent and KeyBanc Capital Markets served as co-structuring agent.

“We are thrilled with the overwhelming amount of interest from new and existing investors,” Arlene Shaw, managing director and treasurer at Brightwood, said. “We credit this success to our longstanding tenure in the middle market, which has enabled us to develop a robust CLO platform capable of navigating uncertain market conditions and capitalizing on industry tailwinds to deliver value for our investors across market cycles. We look forward to continuing our role in supporting the growth of the middle market.”

“We are excited to see extensive interest in our middle market CLO platform as investors increasingly see the value in the asset class and the unique risk-return profile it can provide,” Sengal Selassie, CEO and managing partner of Brightwood, said. “As a result of our team’s deep credit expertise and industry knowledge, our CLO strategy has proved resilient, delivering value to investors despite a challenging macroeconomic and geopolitical backdrop. Looking ahead, we plan to build upon our success in the space by leveraging our experience to serve a rapidly growing market.”