The debt arm of Triton Partners, the European mid-market investment firm, is approaching the target of €550 million for its Triton Debt Opportunities II fund, according to market sources. The firm itself declined to comment.
The firm is expecting to push beyond that figure towards the hard cap of €750 million, with a final close expected in April of next year.
Triton Debt Opportunities was formed in 2013 as the credit arm of pan-European investment firm Triton Partners. In the same year it closed its first fund, Triton Debt Opportunities I, on €500 million.
Triton Partners was founded in 1997 to invest in mid-market opportunities in private equity, debt and public equities in the industrials, business services and consumer/health sectors. It has ten offices dotted around Europe, investing mainly in German-speaking countries, the Nordics, Benelux, France, Italy, Spain and the UK.
TDO II will follow the same strategy as the first fund by targeting opportunistic investments in corporate loans, bonds and other financial obligations and securities. It focuses on mid-market companies in Northern Europe with an investment size of between €10 million to €40 million and has a target gross return of 15 percent.
The firm can invest across the capital structure but focuses mainly on first lien, senior secured debt. It claims to have a strong pipeline based on longstanding relationships with European banks, which gives it access to deals.
TDO is headed by partner Amyn Pesnani, who joined TDO from Strategic Value Partners, where he focused on European distressed debt investments. He also had spells in the European leveraged buyout team at Clayton, Dubilier & Rice and in investment banking at Goldman Sachs.