Monroe Capital closed its inaugural collateralized fund obligation (CFO) known as Monroe Capital CFO I. The $315 million CFO provides investors access to a diversified portfolio of Monroe’s strategies, including Monroe’s flagship senior secured direct lending and alternative credit solutions platforms, in both rated and non-rated securities.
“We are thrilled to close our first CFO which provides investors exposure to Monroe’s lending platform through a single offering,” Seth Friedman, head of structured solutions for Monroe said. “We appreciate the support and confidence shown to us by our investors.”
“The structured credit fixed-income market is a $12 trillion market. Monroe has participated in this market through our collateralized loan obligation vehicles (CLO), asset-backed securitizations (ABS) and now through our inaugural CFO,” Zia Uddin, president of Monroe, said. “All these products have been part of our 20-year history of offering investors access to high yielding, scalable, floating-rate investments. The capital efficient structure of this CFO allows investors, such as insurance companies and other rating focused investors, a bespoke solution to our entire investment platform tailored to their unique investment needs.”
Jefferies served as the lead structuring agent and sole placement agent of the transaction, with Carlyle as the structuring advisor, and Dechert served as legal advisor to Monroe.