Balbec Capital has garnered a $100 million re-up commitment from an Asian institutional investor for its fourth global insolvency credit fund, Private Debt Investor has learned.
The Asian capital commitment went to the Scottsdale-headquartered alternative credit investment manager’s InSolve Global Credit Fund IV. The vehicle was officially launched with a target of $1 billion, per a Securities and Exchange filing on 1 March 2019.
It is understood the fund is structured as a closed-ended vehicle with a two-year investment period and will target an IRR of over 10 percent.
Its predecessor fund, InSolve Global Credit Fund III, held a final close on $727 million as of April 2018, the firm disclosed. Fund III has invested mainly in the US and continental Europe and has a two-year investment period, from April 2018 to April 2020.
Balbec’s second global private credit fund held a final close on $629 million in July 2015. Its investment strategy included investing in insolvency assets secured by hard asset collateral, including the US first-lien mortgages.
The firm started fundraising for its global private credit fund in November 2011 with a target of $150 million. The first fund, InSolve Global Credit Fund I, held a final close on $143 million in June 2012. It deployed the capital across seven countries.
Requests for comments on the reporting to the firm were not returned.
Balbec Capital is a private credit investment firm with a focus on insolvency, bankruptcy, and other restructuring processes. The firm has invested over $1.5 billion across 18 countries for the insolvency strategy.