Neuberger fund raises $2.5bn

Credit Opportunities Fund’s final close beats target, brings Cap Solutions Group to $5.6bn.

Neuberger Berman’s NB Credit Opportunities Fund II has held a final close at approximately $2.5 billion in commitments, exceeding the initial target of $1.5 billion. The fund offers both debt and equity financing to companies that are backed by leveraged buyout firms. Its exposure includes business and industrials, healthcare, software/tech and energy.

With this close, the broader Capital Solutions group now has $5.6bn AUM. The group sources and structures investments with a focus on minority equity and other junior capital instruments.

Investors in the new fund include public and private pensions, insurance companies, foundations and family offices across North America, Europe, Asia and Australia.

Neuberger Berman, headquartered in New York, is an employee-owned investment manager, with $443 billion in assets under management, according to its website.

A timeline on its website indicates that in 2011, the firm launched liquid alternatives funds, both in UCITS and in ‘40 Act vehicles. In 2013 it brought on a private credit investment team, as well as an emerging markets debt team.

In September 2022, when the firm closed on its NB Private Debt Fund IV, that was $8.1 billion, including leverage, far exceeding that fund’s $5 billion target.