Penfund raises $870m

The Toronto-based independent firm will employ a strategy of offering junior capital products to mid-market companies.

Penfund announced the final closing of Penfund Capital Fund VI at C$1.15 billion ($870 million) exceeding the original fundraising target of C$900 million ($678 million). The mezzanine fund surpasses the size of its predecessor, Penfund Capital Fund V, which held a final close in October 2016 at C$724 million ($546.60 million).

The fund will function as a specialty lender, focusing on second lien, mezzanine, private high yield loans and other credit products.

Park Hill Group LLC was the placement agent for the fund.