Monomoy Capital Partners has closed its third credit opportunities fund, reaching a total of more than $500 million in commitments, marking a significant milestone for the New York–based private investment firm as it continues to expand its middle-market credit strategy. The raise was completed in just 10 months and represents a growth rate of more than 70% compared to Monomoy Credit Opportunities Fund II, which closed in 2023. The firm achieved this result despite a challenging fundraising climate, drawing strong participation from both returning investors and a broad range of new global limited partners.
The new fund, Monomoy Credit Opportunities Fund III, will invest in senior secured debt across industrial, consumer, and business services sectors. Monomoy’s Credit Team will continue to apply the firm’s institutional expertise, operating capabilities, and proprietary sourcing model, which have together shaped its approach to credit investing since inception. The team’s strategy remains centered on identifying opportunities that align with Monomoy’s core industry verticals while emphasizing risk-adjusted performance and disciplined underwriting.
Investor demand for the latest fund attracted hospital systems, university endowments, and asset managers, expanding the limited partner base that previously included public pension plans, foundations, and family offices. The growth reflects the firm’s ability to cultivate a diverse global investor community and build on the performance of its earlier credit vehicles.
MCOF III has already begun deploying capital this year and is continuing to pursue new transactions within its targeted sectors. With more than $5.3 billion in assets under management across its broader platform, Monomoy plans to use the new fund to reinforce its momentum in the middle-market credit space while continuing to focus on operational and financial improvement opportunities across manufacturing, distribution and services companies.
KEY QUOTE:
“Exceeding our target for MCOF III in just ten months reflects strong investor support for our cycle-tested credit strategy. We’ve remained focused on our core sectors and true to the disciplined approach we established from the outset. The continued support of long-standing investors, together with new global commitments, speaks to the team’s shared commitment to excellence. We’re confident that this same foundation will continue to drive performance and position Monomoy for sustained growth in the years ahead.”
David Robbins, Partner and Head of Credit Strategies at Monomoy Capital Partners
