Monroe Capital closed a $455 million term debt securitization known as Monroe Capital MML CLO XI. The term financing is Monroe Capital’s sixth collateralized loan obligation completed since March 2018 and is secured by a portfolio of middle market senior secured loans.
Monroe Capital sold securities rated from AAA through BB. Monroe Capital and its affiliates retained a majority of the subordinated notes in the transaction. BNP Paribas served as the lead manager, structuring agent and bookrunner. This transaction was structured to meet and comply with both European risk retention guidelines and U.S. risk retention guidelines.
“We enjoyed working with BNP Paribas on this middle market CLO. Our middle market CLO portfolios have proven resilient during the recent market dislocation and we are working diligently to maintain credit quality through the entire Monroe platform. We were pleased to welcome new investors in this middle market CLO and we value our relationships with a growing group of repeat investors,” Jeremy VanDerMeid, portfolio manager of Monroe Capital, said. “We continue to see strong demand from investors around the world, as our middle market CLOs offer investors a unique entry point to access the U.S. middle market.”
Monroe Capital’s CLO platform has approximately $3.4 billion assets under management, with 11 middle market CLO vehicles and one broadly syndicated CLO under management. Monroe Capital has a 14-year track record as both a middle market and broadly syndicated CLO manager.
Private Debt Investor recently recognized Monroe Capital with the 2020 CLO Manager of the Year award. The firm has approximately $9.7 billion assets under management and a private credit platform of more than 25 vehicles comprised of direct lending and opportunistic credit funds, publicly traded and private BDCs, separately managed accounts, and CLOs.