NXT Capital, LLC announced the closing of NXT Capital Senior Loan Fund II, L.P., a $783 million leveraged loan fund that will invest in senior debt transactions originated and underwritten by NXT Capital’s Corporate Finance Group. These include senior secured, stretch senior, unitranche, 2nd lien, term over revolver and last-out term loans made primarily to private equity-sponsored middle market companies in a wide range of industries.
Senior Loan Fund II represents a substantial expansion of the Corporate Finance Group’s existing $1.5 billion asset management platform and further extends the company’s ability to serve its middle market client base. The Fund received equity commitments from nine institutional investors, including leading pension plans, insurance companies and foundations. In addition, Wells Fargo Bank N.A. provided a $500 million term loan commitment to the Fund.
“The successful close of NXT Capital Senior Loan Fund II represents a strong endorsement of NXT Capital’s expertise in middle market leveraged lending and our track record as an asset manager,” said Robert Radway, NXT’s Chairman and CEO. “We appreciate investors’ vote of confidence in our team and the attractiveness of this investment opportunity.”
“The addition of Senior Loan Fund II to our existing asset management platform further solidifies NXT’s position as a leader in the middle market space,” said John Finnerty, Head of NXT Capital’s Corporate Finance Group.
NXT Capital provides structured financing solutions to middle-market and emerging growth companies, as well as real estate investors, through its Corporate Finance, Equipment Finance, Venture Finance and Real Estate Finance groups. Based in Chicago with offices in New York, Atlanta, Boston, Charlotte, Dallas, Phoenix, San Francisco and Silicon Valley, NXT Capital targets senior financing opportunities up to $150 million with a hold size up to $50 million. NXT Capital also provides investment advisory services through its wholly-owned subsidiary NXT Capital Investment Advisers, LLC, an investment adviser registered with the Securities and Exchange Commission.