A subsidiary of Strategic Credit Opportunities Partners LLC, a joint venture between Corporate Capital Trust and Conway Capital LLC formed in May 2016, has secured a $250 million revolving credit facility with Goldman Sachs Bank USA. Conway Capital is an affiliate of Guggenheim Life and Annuity Company and Delaware Life Insurance Company.
Corporate Capital Trust is a non-traded business development company sponsored and advised by CNL Financial Group and KKR & Co. The company is currently taking steps to list on the New York Stock Exchange, although the timeline for the listing is currently unavailable.
The credit agreement is secured by substantially all of the assets of Jersey City Funding LLC, the subsidiary of Strategic Credit Opportunities Partners, and provides loans in U.S. dollars, Australian dollars, euros, and pounds sterling.
U.S. dollars loans will bear interest at the rate equal to LIBOR plus 2.25 percent. The scheduled maturity date for the credit facility is September 29, 2021 (which may be extended by one year upon mutual consent).
The facility will be collateralized with a flexible asset pool which can include originated assets and various security types. Total outstanding loans under this credit facility were approximately $165 million upon closing (dollar equivalent).
In conjunction, $373 million of assets were acquired by Jersey City from Corporate Capital Trust. Including these acquisitions, total assets in Strategic Credit Opportunities Partners now exceed $600 million.
Corporate Capital Trust, which closed to new investors in October 2016, invests primarily in the debt of privately owned companies, with a focus on originated transactions sourced through the networks of its advisors. The company’s investment portfolio totaled $4.1 billion, as of June 30, 2017, according to Summit Investment Research. The offering raised a total of $3.3 billion in investor equity since it was declared effective by the SEC in April 2011.