Monroe senior secured fund 50% invested

Ted Koenig says the firm has already invested half of its Senior Secured Direct Loan Fund, which closed on $500m in December.

Monroe Capital’s Senior Secured Direct Loan fund is 50 percent invested, firm president and chief executive officer Ted Koenig told Private Debt Investor on Wednesday.

The firm closed the fund on $500 million in December 2013 and secured a term warehouse facility to complement the vehicle's available capital, according to a January press release. The fund received commitments from more than 30 investors.

Monroe Capital Senior Secured Direct Loan Fund provides secured senior and stretch senior, unitranche, second lien and last-out term loans to North American mid-market companies. The firm announced a pair of deals in April, providing a $27 million senior secured credit facility in support of Cornerstone Detention Products’ acquisition of Norment Security Group, and a $35 million unitranche facility for SNI Companies refinancing.

In addition to updating PDI on the firm’s investment pacing, Koenig also discussed the recent addition of managing director Lee Stern to Monroe’s New York office. Stern, whose background includes time with Kohlberg Kravis Roberts’ mezzanine team and GSO/The Blackstone Group, specialises in junior debt financing. Stern joins Monroe after having spent the previous two years at Levine Leichtman Capital Partners, where he was a member of that firm’s credit strategies team.

“Lee’s background is in debt, and structuring debt, and we’re going to give him more options to do what he does best,” Koenig said. “A guy like Lee could have gone to any platform in New York. And he came to us because I think he recognized the power of Monroe.”