Comvest Credit Partners Launches $500 Million CLO for Investors

Comvest Credit Partners Announces Closing of Its First Middle-Market CLO

Comvest Credit Partners, a prominent provider of tailored financing solutions for middle-market companies, recently achieved a significant milestone by closing its inaugural Collateralized Loan Obligation (CLO), Comvest 2024-1 CLO, at an impressive $500 million. This achievement marks an important addition to Comvest's portfolio and reflects their deep commitment to providing diverse investment opportunities.

Highlighting the CLO’s Features and Benefits

The Comvest CLO is designed to enhance the firm's offerings in the credit investment space, providing a robust solution for investors looking to diversify their portfolios. Jason Gelberd, a Partner and Chief Operating Officer at Comvest, expressed enthusiasm about the CLO, emphasizing the critical role it plays in expanding their credit product offerings.

Words of Assurance from Comvest Leadership

Jason Gelberd noted, "We are eager to utilize Comvest's resources and capabilities to further our credit product offerings. The CLO exemplifies our considerable expertise in managing middle-market credit investments, offering investors varied opportunities to invest in Comvest.” This statement reflects confidence in the firm's ability to generate returns for their investors.

Investor Reception and Market Outlook

The investor response to Comvest’s debut CLO has been very positive, illustrating confidence in Comvest's seasoned credit investment team and their robust track record spanning nearly two decades. Gelberd remarked on the encouraging feedback from their investor base and expressed hopes to return to the market as a programmatic CLO issuer in the future.

A Unique Investment Vehicle

The Comvest CLO is rated by Standard & Poor’s and is collateralized by a diversified portfolio of senior secured loans that are originated and managed by Comvest. With a nine-month reinvestment period and a nine-month non-call period, this CLO offers investors a structured and reliable investment pathway.

Strategic Partnerships Enhancing Operations

To facilitate this significant transaction, Deutsche Bank Securities Inc. acted as the Lead Manager and Sole Bookrunner, while NatWest Markets plc contributed as the Co-Placement Agent alongside GreensLedge Capital Markets LLC, which served as the Co-Manager. These partnerships further underscore Comvest's strategic approach to expanding its funding sources.

Pioneering in the Market

With the closing of Comvest CLO, the firm has positioned itself as the first debut issuer of a middle-market U.S. CLO in 2024, marking a significant achievement in the competitive landscape of CLO issuers. This milestone not only reflects Comvest’s growth but also its commitment to innovation in the financing domain.

About Comvest Credit Partners

Comvest Credit Partners, the direct lending arm of Comvest Partners, is dedicated to supplying flexible, high-quality financing solutions to middle-market companies. Their focus encompasses various financial needs including senior secured, unitranche, and second lien capital aimed at supporting growth, acquisitions, buyouts, refinancings, and recapitalizations, with credit facilities exceeding $300 million.

About Comvest Partners

Founded in 2000, Comvest Partners is a private investment firm that has provided both equity and debt capital tailored for well-positioned middle-market companies across North America. Comvest is recognized for its operational expertise, collaborative methods, and significant transaction experience, managing $12.5 billion in assets and investing over $13.5 billion since its inception. With a headquarters in West Palm Beach, the firm also possesses offices in Chicago and New York City.

Frequently Asked Questions

What is the total amount of the CLO closed by Comvest?

The Comvest CLO was closed at $500 million, marking a significant achievement for the firm.

What types of loans does the Comvest CLO focus on?

The CLO is collateralized by a diversified portfolio of senior secured loans originated and managed by Comvest.

Who managed the transaction for the CLO?

Deutsche Bank Securities Inc. served as the Lead Manager and Sole Bookrunner, while NatWest Markets and GreensLedge Capital Markets acted as co-managers.

How long is the reinvestment period for the CLO?

The CLO features a nine-month reinvestment period and a nine-month non-call period for investors.

What is Comvest's specialty in financing?

Comvest provides senior secured, unitranche, and second lien capital to support a variety of financial activities including growth and acquisitions for middle-market companies.

About Investors Hangout

Investors Hangout is a leading online stock forum for financial discussion and learning, offering a wide range of free tools and resources. It draws in traders of all levels, who exchange market knowledge, investigate trading tactics, and keep an eye on industry developments in real time. Featuring financial articles, stock message boards, quotes, charts, company profiles, and live news updates. Through cooperative learning and a wealth of informational resources, it helps users from novices creating their first portfolios to experts honing their techniques. Join Investors Hangout today: https://investorshangout.com/

Disclaimer: The content of this article is solely for general informational purposes only; it does not represent legal, financial, or investment advice. Investors Hangout does not offer financial advice; the author is not a licensed financial advisor. Consult a qualified advisor before making any financial or investment decisions based on this article. The author's interpretation of publicly available data shapes the opinions presented here; as a result, they should not be taken as advice to purchase, sell, or hold any securities mentioned or any other investments. The author does not guarantee the accuracy, completeness, or timeliness of any material, providing it "as is." Information and market conditions may change; past performance is not indicative of future outcomes. If any of the material offered here is inaccurate, please contact us for corrections.