Colbeck Capital Management announced the launch of Colbeck Strategic Income (CSI), a new direct lending vertical with an initial capital commitment of approximately $400 million.
CSI complements the firm’s Colbeck Strategic Lending (CSL) vertical, which has more than $1.7 billion in assets. CSL closed its third fund in December 2024 at 40% above its target due to strong investor demand for alpha-generating capital solutions products.
CSI focuses primarily on first-lien senior secured loans to middle-market companies entering their next stage of transition. Colbeck has already made six investments through the strategy and has a robust pipeline of near-term investment opportunities.
The strategy is designed to finance companies experiencing transformative growth while emphasizing downside protection and structural flexibility. Colbeck plans to leverage its underwriting and structuring experience, sourcing networks, and private equity-style engagement to create value for borrowers and investors across credit cycles.
The launch follows continued growth across the Colbeck platform. The firm has invested over $5 billion since inception and has 25 professionals with experience investing across multiple credit cycles.
KEY QUOTE:
“Over the years, as alternatives markets have matured and our sourcing capabilities have deepened, we have seen a growing pipeline of high-quality opportunities in larger, more established middle-market companies that offer an attractive risk-adjusted profile. Taken together, they have created a natural runway for CSI, enabling us to more fully capitalize on the breadth of opportunities generated by our existing sourcing engine. While we remain a focused, single-strategy firm, we believe having two complementary verticals – CSL and CSI – provides attractive investment optionality and diversification amidst a dynamic market backdrop. We are grateful for the strong initial support CSI has received and look forward to building on this momentum.”
Jason Colodne and Jason Beckman, Co-Founders and Managing Partners of Colbeck
