Anchorage Capital Advisors has acquired management contracts for 11 U.S. collateralized loan obligations from ORIX Advisers, expanding its global structured credit platform by approximately $4.7 billion in assets under management.
The acquired CLOs were previously managed by ORIX Advisers, a subsidiary of ORIX Corporation USA, under its Signal Peak Capital Management brand.
Following the transaction, Anchorage Collateral Management, an affiliate of Anchorage Capital Advisors, will become collateral manager for the 11 vehicles.
Each acquired vehicle will be rebranded under the SP–Anchorage CLO name.
The transaction substantially expands Anchorage’s managed CLO portfolio while adding an established group of institutional investors associated with the acquired vehicles.
Collateralized loan obligations are structured investment vehicles that hold diversified portfolios of corporate loans and issue different classes of securities backed by those assets.
The collateral manager is responsible for overseeing the underlying loan portfolio in accordance with the vehicle’s investment guidelines and contractual requirements.
By acquiring the management contracts, Anchorage is expanding the amount of credit assets it manages rather than directly acquiring $4.7 billion in loans for its own balance sheet.
The transaction allows Anchorage to apply its established credit research and portfolio management capabilities to the acquired CLOs.
The company has more than a decade of experience managing collateralized loan obligations.
Its broader credit platform includes investments in leveraged loans, distressed debt, special situations, and other liquid and illiquid credit opportunities.
Following the acquisition, Anchorage’s CLO and collateralized bond obligation platform comprises 60 vehicles holding approximately $26.09 billion in collateral obligations across the United States and Europe.
The transaction increases the scale of its structured credit business while broadening the range of portfolios managed by its credit investment teams.
Anchorage intends to incorporate the Signal Peak portfolios into its existing platform and provide continuity to their institutional investors.
The firm will also apply its credit research capabilities to the management of the acquired vehicles.
For ORIX USA, the transaction represents a further adjustment to its investment management portfolio as it increases its emphasis on private markets.
ORIX Advisers’ decision to transfer the CLO management contracts aligns with the broader company’s strategy of allocating resources toward selected investment management businesses.
ORIX USA operates across credit, real estate, private equity, and other investment strategies.
Following completion of the transaction, ORIX USA and its subsidiaries manage approximately $39 billion in assets and commitments.
Its operating businesses include ORIX Advisers, ORIX Capital Partners, Boston Financial, Lument, Hilco Global, and NXT Capital.
The organization employs approximately 2,100 professionals.
Anchorage Capital Advisors is headquartered in New York and focuses on credit investments across North America and Europe.
Following the transaction, the firm reports approximately $32.63 billion in total assets under management across credit, special situations, and illiquid investment markets.
Support: Berkshire Global Advisors served as exclusive financial advisor to ORIX USA in connection with the transaction.
KEY QUOTES:
“This transaction meaningfully expands the scale of our global CLO platform. With more than a decade of CLO management experience, Anchorage is well positioned to actively manage these portfolios and deliver value to our investors. ORIX USA has been an outstanding partner throughout this process, and we thank them for their trust, collaboration, and commitment to a seamless transition.”
Yale Baron, Co-Chief Investment Officer And Co-Managing Partner Of Anchorage Capital Advisors
“We are excited to incorporate these portfolios and welcome Signal Peak’s investors to Anchorage. We look forward to bringing the full breadth of our credit research platform to these portfolios.”
Soo Kim, Head Of Liquid Credit And Partner At Anchorage Capital Advisors
“This transaction reflects the continued evolution of ORIX USA’s investment management strategy and our long-term emphasis on private markets. We believe Anchorage’s established credit capabilities and CLO platform will provide a strong foundation for the continued management of these contracts, and we appreciate the collaboration of both teams in supporting an orderly transition.”
Jeff Abrams, Group Head Of Private Credit And Real Estate At ORIX USA
