Eurazeo 

Eurazeo Private Debt was one of the most active mid-market lenders in Europe in 2022. The year saw Eurazeo invest more than €1.5bn across 47 separate transactions with 40% of these deals outside of France. Buy-and-build activity represented a significant part of its lending activity, with 30 add-on transactions financed by Eurazeo, representing €380m of additional financing. 90% of Eurazeo’s loans were sustainability-linked, making it a champion of ESG lending. 

Despite the difficult fundraising environment in 2022 against the backdrop of the denominator effect, Eurazeo raised more than €2bn across its strategies. This included €600m raised for EPVE 3 retail fund, strengthening Eurazeo’s leading position in opening private equity to retail investors in France. 

2022 was also a year of international expansion for Eurazeo. The Private Debt team opened a London office and successfully consolidated its presence in the Benelux and Italian markets with five and three deals financed respectively. 

Tikehau Capital

A key highlight from 2022 was the final closing of Tikehau Direct Lending V (‘TDL V’). In July 2022 TDL V closed €3.3bn (across all vehicles) making it the largest individual fund in TKOs history and a record sum for the private debt platform. Furthermore, the sum highlights TKO’s position as one of the most established direct lenders in Europe.  

This pioneering approach is evidenced through multiple initiatives, for example TKO was the first manager to provide ESG ratchets in unitranche financing. This process has accelerated in 2022. In 2022, 50% of new portfolio companies included an ESG ratchet, with employee relations and climate change a main focus. Finally, as a first mover, TKO will be the first to track real effects of ratchets on funds and underlying companies, helping provide data to make sustainable investing more efficient and participants more knowledgeable. 

Barings

Barings has been investing in European private credit since 2005 and the five members of their Investment Committee average 30+ years’ experience. Since inception of Barings’ Senior Loan track record in 2013, the team has generated an 8.2% gross IRR with a loss of rate of <1bps, having invested in 255+ senior deals.  

Barings are an established top tier player and trusted partner to our Private Equity relationships, evidenced by the 75+ sponsors the team has transacted with. The team of 31 professionals have access to 11 offices around Europe, giving them a truly pan-European presence in the market. Barings deployed a firm-record €5.9bn in 2022. 

Barings completed fundraising for its European Private Loan Fund and associated vehicles in June 2022, attracting total commitments of €7 billion from a global investor base. As of 31 December 2022, Barings’ total committed capital in Europe is €16.3 billion, with €12.3 billion invested.  

This pioneering approach is evidenced through multiple initiatives, for example TKO was the first manager to provide ESG ratchets in unitranche financing. This process has accelerated in 2022. In 2022, 50% of new portfolio companies included an ESG ratchet, with employee relations and climate change a main focus. Finally, as a first mover, TKO will be the first to track real effects of ratchets on funds and underlying companies, helping provide data to make sustainable investing more efficient and participants more knowledgeable.