BlackRock, the world’s largest asset manager, has hired Michael Zugay as the head of investments in its Private Capital Group in New York.
Zugay, who starts his new job today (12 October), leads the underwriting and monitoring of mid-market private investments, which include loans made by the BlackRock Capital Investment Corporation (BCIC) business development company.
He also joins US Private Capital’s investment committee and serves as its vice-chairman. Zugay reports to Steve Sterling, the head of BlackRock US Private Capital.
Zugay was previously a managing director at Ares Management in the direct lending group, where he worked for 11 years and was responsible for sourcing, evaluating, structuring and executing private debt and equity investments for Ares Capital Corporation. He also monitored portfolio companies at the $9.1 billion BDC.
Before Ares, Zugay worked at the debt restructuring firm Zolfo Cooper.
BlackRock has been building out its Private Capital Group. In the last six months, the firm completed the acquisition and integration of the operating management of BCIC ? previously known as BlackRock Kelso Capital Corporation ? repositioned its portfolio to reduce risk and added people to the team, said a BlackRock memo obtained by PDI.
“All of these steps further our vision of building a pre-eminent US private investment platform with a reputation for quality investment solutions for our fiduciary clients,” said the memo from Sterling and Jim Keenan, global head of fundamental credit.
The BlackRock BDC has about $1.2 billion in assets under management. Overall, BlackRock handles $4.77 trillion in assets across a variety of traditional and alternative strategies, with the bulk in public fixed-income.