Marathon Asset Management, a global credit investment manager, closed Marathon Secured Private Strategies Fund III, the third vintage of its closed-end asset-based lending fund. The fund, which was oversubscribed, accepted $1.7 billion of capital commitments from a global base of institutional and high net worth investors.
As traditional lenders have downsized their lending programs, Marathon’s ABL strategy is designed to pursue compelling returns for clients by creating a diversified portfolio through sourcing, underwriting and structuring attractive private investments that exhibit principal protection, robust asset coverage and predictable cashflows. In addition to originating loans, Marathon intends to capitalize on the increase of secondary loan market opportunities, as select undercapitalized financial institutions seek to improve their financial condition through asset sales.
“ABL has become a core component within private credit portfolios, and our Marathon secured private strategies program provides a differentiated strategy that we believe will continue to deliver attractive absolute returns throughout credit cycles,” Bruce Richards, chairman and CEO of Marathon, said. “It’s the golden era of credit, and the talented men and women who represent our extraordinary team are energized to think creatively, work diligently and invest wisely on behalf of our limited partners.”
“It’s an exciting time for asset-based lending as investments can be sourced in a variety of forms, including primary origination, capital relief transactions and discounted asset sales,” Ed Cong, partner and co-portfolio manager at Marathon, said. “Our team is laser-focused on delivering for clients and serving as a collaborative partner to borrowers, while maintaining appropriate covenants and advance rates, full transparency and best reporting practices.”
