NEW YORK–(BUSINESS WIRE)–June 30, 2022–
Varagon Capital Partners, LP (“Varagon” or the “Company”), a leading middle market lender specializing in senior loans directly issued to US middle market companies backed by private equity, announced that funds managed by Goldman Sachs Asset Management have made a strategic preferred stock investment in an affiliate of the Company. The strategic partnership is expected to support the growth of Varagon’s lending business, the launch of new vehicles and the company’s continued expansion.
Varagon, with approximately $15.1 billion in assets under management, has established itself as a solutions-focused partner for private equity firms, the companies they invest in, and investors who trust Varagon to manage the assets on their behalf. In a time of uncertainty and volatility in liquid markets, the company believes it is well positioned to expand its leadership presence in the U.S. central and lower-middle market, a segment of the private credit markets that has , so far, been resilient relative to cash credit.
“We are delighted to welcome Goldman Sachs Asset Management as a strategic partner,” said Walter Owens, CEO of Varagon. “This transaction formalizes a relationship that has evolved over several years, and we believe this partnership is intended to create value for Goldman Sachs Asset Management and all Varagon stakeholders.”
“Goldman Sachs Asset Management is delighted to partner with Varagon to support the company’s continued expansion. We have developed a close relationship with Varagon over several years and have been truly impressed with Varagon’s management team, growth trajectory and strong credit performance,” said Harold Hope and Christian von Schimmelmann, Managing Directors of Goldman. Sachs Asset Management.
About Varagon Capital Partners
Varagon Capital Partners is a private credit manager, specializing in senior secured and unitranche loans to successful US middle-market companies backed by private equity. With offices in New York, Chicago and Fort Worth, Varagon cultivates relationships with private equity sponsors to source funding opportunities directly, providing flexible and reliable capital solutions to borrowers. As of March 31, 2022, Varagon Capital Partners had approximately $15.1 billion in assets under management. Since its inception in 2014, the firm has invested more than $21 billion in middle market loans. follow us on LinkedIn.
About Goldman Sachs Asset Management
Combining traditional and alternative investments, Goldman Sachs Asset Management offers clients around the world a dedicated partnership and a focus on long-term performance. As a primary investment area within Goldman Sachs (NYSE: GS), we provide investment and advisory services to the world’s leading institutions, financial advisors and individuals, leveraging our deeply connected global network and on tailored expert insights, across all regions and markets, overseeing more than $2 trillion in assets under supervision globally as of March 31, 2022. Driven by a passion for the performance of our clients, we seek to build long-term relationships based on belief, lasting results and shared success over time. Goldman Sachs Asset Management invests across the full spectrum of alternatives, including private equity, growth equity, private credit, real estate and infrastructure. Established in 1998, Goldman Sachs Asset Management’s Vintage Funds have been innovators in the secondary market and have invested more than $55 billion in capital since their inception. Established in 2007, the Petershill business within Goldman Sachs Asset Management partners with leading alternative asset managers and helps accelerate their strategic development. follow us on LinkedIn.
As used in this press release, the term “AUM” refers to total capital commitments and includes discretionary and non-discretionary assets, as well as leverage. As of March 31, 2022, Varagon’s approximately $15.1 billion in assets under management included approximately $1.9 billion in non-discretionary vehicles under management. For avoidance of doubt, AUM includes capital commitments drawn and undrawn from accounts receivable. The definition of AUM in this press release may differ from the Company’s definition of its assets under management in other contexts, including, but not limited to, regulatory filings and other disclosures.
These are the current views of Varagon, Walter Owens and Goldman Sachs Asset Management as of the date hereof, and neither party has any responsibility to advise of any change in the views expressed. All information is believed to be reliable as of the date this press release was issued and was obtained from sources believed to be reliable. No representations or warranties, express or implied, are made with respect to the accuracy or completeness of the information contained herein. Except as required by federal securities laws, Varagon undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, changing circumstances or for any other reason after the date of this press release. .
This press release may contain forward-looking statements, relating to future events or to the future performance or financial condition of Varagon, including statements relating to Varagon’s private equity trading volume which continues to increase and is well positioned to expand its presence in the central and lower sectors. middle market. Certain information constitutes “forward-looking statements”, which are identified by terms such as “may”, “will”, “should”, “expect”, “anticipate”, “target”, “project”, “estimate ‘, ‘intend’, ‘continue’ or ‘believe’, or other variations or comparable terminology. These statements are based on management’s current expectations, assumptions and beliefs. They are not guarantees of future results and are subject to numerous risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed in any forward-looking statement. These risks include risks relating to, among other things, developments in the financial, capital and lending markets; interest rate volatility, including the removal of LIBOR and rising interest rates; regulatory changes; general economic and commercial conditions; and the continuing uncertainties associated with the COVID-19 pandemic. Actual events or results may differ materially from those reflected or contemplated in these forward-looking statements.
This press release does not constitute an offer to sell securities or the solicitation of an offer to buy securities. Past actions do not necessarily define future actions.
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SOURCE: Varagon Capital Partners, LP
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PUBLISHED: 06/30/2022 09:00/DISC: 06/30/2022 09:02