CNL & KKR Invest Over $300 Million for Corporate Capital Trust

Non-traded BDC, Corporate Capital Trust (CCT), announced yesterday that it has invested over $300 million in seven originated transactions in the first half of 2014.

Four of the transactions took place in the first quarter and totaled $120 million and included loans to New Enterprise Stone & Lime Co., Inc. and Greystone & Co. Inc.

The three other transactions took place in the second quarter and include Tweddle Group, Kurt Geiger/The Jones Group and Pacific Union Financial for a total of close to $200 million.

The Michigan-based Tweddle Group, which is one of the largest automotive owner’s manual and service-information companies in North America, entered into a first-lien term loan for $130 million with CCT providing $61 million of the overall financing.

CTT also funded a $76 million transaction with Kurt Geiger, a retailer of luxury and premium footwear sold in department stores across the United Kingdom, which included an equity co-investment portion across affiliates of Kurt Geiger

Pacific Union Financial, a Dallas-based, privately-owned, full-service residential mortgage company was issued a first-lien term loan for $200 million, with $60 million of it allocated to Corporate Capital Trust. A portion of this is still committed and unfunded as of June 30, 2014.

Created by leading private investment firm CNL and global alternative asset manager KKR, Corporate Capital Trust provides individuals the opportunity to invest in the debt of privately owned American companies.

“We continue to see attractive originated loan opportunities in the market. CNL and KKR’s combined deep industry relationships have provided us with immediate access to an established source of proprietary deal flow. With this backing, our experienced investment teams have actively sourced seven new originated investments in the first half of 2014,” said Andy Hyltin, CEO of Corporate Capital Trust.

“Corporate Capital Trust was created to directly originate loans, and our allocation policy provides the company equal access to invest alongside KKR’s other institutional clients,” said Erik Falk, co-head of leveraged credit for KKR Asset Management. “Corporate Capital Trust also has a flexible mandate that permits us to take advantage of opportunities across the credit spectrum, including primary issuance and secondary transactions. This allows us to participate in the transactions that provide an attractive opportunity for increased value in the portfolio, while continuing the main focus on originations.”