Private Credit Shop Pemberton Adds $2.2 Billion to War Chest

(Bloomberg) -- Pemberton Capital Advisors LLP has raised more than $2.2 billion for its flagship strategy of providing credit to mid-sized companies in Europe.

The private credit manager held a first close for the mid-market strategy, which focuses on core direct lending, at the end of 2020, according to a person familiar with the matter who asked not to be identified discussing a private matter. The firm is targeting about $4.5 billion to $5 billion for the approach, the person said.

London-based Pemberton’s latest fundraise comes as private debt managers globally are looking to bring in roughly $290 billion for the asset class as the environment improves. Investors allocated just $108.1 billion to private debt last year amid a cash raising slump, but low interest rates and relatively resilient performance across the board may help increase those figures this year, market watchers say.

Pemberton raised in excess of $5 billion overall in 2020, according to the person. In addition to mid-market lending, which provides financing to companies with EU15 million ($18.5 million) and EU100 million in Ebitda, the firm’s strategies include strategic credit, or bespoke financing, and senior lending that’s focused on first-lien investments in larger companies.

A Pemberton spokeswoman declined to comment.

The firm, backed by insurer Legal & General Group Plc, invests mainly in mid-sized, private equity-sponsored businesses in Europe. It has about $10 billion in assets under management, according to a November statement.

In November, Pemberton announced it had hired Scott Hamilton as a managing director as it looks to build out its presence in North America.