Muzinich holds first close on French fund

The corporate credit manager has held a close on its fourth European private debt fund strategy.

Corporate credit manager Muzinich & Co has held a first close of €90 million for a French private debt fund.

Institutional investors include French insurance companies and pension funds and one Belgian institutional investor.

The French Private Debt Fund will be used to finance mid-size growth companies with minimum EBITDA of €5 million, predominantly located in France. Muzinich expects to invest mainly in senior debt issued by private companies seeking to diversify and customise their sources of financing in a way which complements traditional bank facilities, the firm said in a statement.

The French Private Debt Fund, a loan-to-real economy fund or Fonds de Prêt à l’Economie (FPE) is structured as a French mutual securitisation fund or Fonds Commun de Titrisation (FCT).

Muzinich has a global private debt team of 15 professionals in Europe and the US. The firm is fundraising for funds covering multiple European jurisdictions such as France, Iberia and the UK.

Sandrine Richard, head of the French Private Debt Fund based in Paris, said in a statement: “Our team is pleased to be a part of Muzinich’s European Private Debt strategy, an important initiative to the firm. We are focused on investments that support our investors’ needs for asset diversification, in a longer-term investment program.”

Muzinich is currently in the market with three other private debt funds, including a UK Private Debt Fund, as previously reported by PDI.

The firm’s Italian Private Debt Fund has around €200 million of committed capital. After holding a second close in April this year, a final close is expected in September. The firm’s Iberian Private Debt Fund reached €80 million in initial commitments in December 2014.