ICG to raise second junior debt fund in 2017 – exclusive

The firm would hit the fundraising trail only a year after it closed its first such fund. 

Intermediate Capital Group (ICG) plans to bring a second junior debt fund to market in 2017 and is contemplating moving further up in the capital stack, a source familiar with the matter toldPrivate Debt Investor.

The London-based firm would likely set a target similar to that of its previous fund, ICG North America Private Debt Fund, which broke through its $750 million target to close on $790 million in January, the source said. As ICG's North America debut, that fund will hold positions ranging from $20 million to $60 million with an average size of $35 million.

Based on investor interest, the firm might also raise a senior lending fund, the source added, which would be ICG's first such vehicle in the US. In Europe, ICG is putting significant amounts of capital to work in senior debt, with its ICG Senior Debt Partners Fund II having closed at €3 billion – triple its €1 billion goal.

The firm declined to comment.

From April through October, the first six months of ICG's fiscal year, the firm raised €1.4 billion, it said in its half-year operations report. The firm also crossed the €22 billion mark in assets under management.

Justin Slaughter contributed to this report.