Crayhill raises $176m for asset-based lending

The new firm hired an investor relations head to focus on its ABL vehicles.

Crayhill Capital Management has raised $175.65 million for its debut fund that will invest in asset-based, private structured credit investments, according to regulatory documents filed with the US Securities and Exchange Commission.

The New York-based firm is seeking at least $500 million for the vehicle, Crayhill Principal Strategies Fund, according to documents from the New Jersey Division of Investments. The Trenton-based pension fund invested $100 million in the fund, and state statutes restrict any commitment from being more than 20 percent of the vehicle. Brooklands Capital Strategies is placement agent for the fund.

A Crayhill representative could not be reached for comment.

In addition, the Garden State retirement plan allocated another $50 million for separate investments the firm may identify, which could include co-investments in Crayhill’s successor funds, meeting documents showed. New Jersey will pay a 1 percent management fee and a 12.5 percent incentive fee over a 6 percent hurdle rate.

Separately, the firm also announced on Monday it had hired Shamafa Khan, formerly of Barings, as head of investor relations and marketing. She will focus on the asset-based lending and credit opportunity funds. At her previous firm, Khan was a director in the global business development group.

Crayhill was co-founded in August 2015 by managing partners Frederick Horton, formerly of fund of funds LyonRossCapital Management, and Carlos Mendez and Josh Eaton, both from the hedge fund Magnetar Capital. Mendez and Eaton were portfolio managers in the fixed income group focusing on illiquid, structured credit and asset-based investments.

Crayhill investments include a $100 million facility to Versa Media Capital, a company that provides financing to television and film content creditors, and a commitment to a Stenn International’s $300 million trade financing platform that helps suppliers in reaching buyers for their products.