Fifth Street forms JV with Glick family office

The jewellery business-backed family office has inked a partnership with Fifth Street Floating Rate Corp to invest in senior secured floating rate mid-market corporate debt.

The Fifth Street Senior Floating Rate Corp (FSFR), a business development company sub-advised by Fifth Street Asset Management, has formed a joined venture with the Glick family office to invest in senior secured floating rate mid-market corporate debt securities, Fifth Street announced yesterday (5 November).

The structure of the new partnership is similar to the Senior Loan Fund JV I, LLC, a recently formed joint venture between Fifth Street Finance Corp and a subsidiary of Kemper Corporation. 

FSFR and GF Funding have committed to provide $100 million of subordinated notes and equity to the joint venture, with FSFR providing $87.5 million and GF Funding providing $12.5 million. The new FSFR Glick JV intends to seek third party financing, according to the statement. 

“We are enthusiastic about our strategic partnership with GF Funding to establish a joint venture to co-invest primarily in senior secured loans,” Ivelin Dimitrov, FSFR’s chief executive said in a statement. “The strategic partnership … further deepens our long-standing relationship with the Glick Family and should allow FSFR to enhance the returns on its invested equity, expand its investment opportunity set and improve its long-term growth potential,” he added. 

Fifth Street Senior Floating Rate Corp. is a speciality finance company that provides financing solutions in the form of floating rate senior secured loans to mid-sized companies, primarily in connection with investments by private equity sponsors. 

Fifth Street Asset Management is a credit-focused asset manager based in Greenwich, Connecticut, with $6 billion in assets under management across multiple public and private vehicles. The firm’s platform can hold loans up to $250 million and structure and syndicate transactions up to $500 million. 

The Glick family was an initial investor in FSFR's IPO in July 2013 and currently owns almost 2 percent of the outstanding shares.

The Glick family office is currently overseen by Simon Glick the son of Louis Glick, who had founded his eponymous Louis Glick & Co. diamond trading company in 1945.