Latest news with #CerberusCapitalManagement
Bloomberg
3 days ago
- Business
- Bloomberg
Cerberus to Expand Subic Bay Business as US Interest in Former Naval Base Grows
Cerberus Capital Management plans to expand its operations in Subic Bay in the Philippines, as the US renews interest in its former naval base, which is being considered as a regional ammunition production hub. The US investment firm is looking to lease around 200 hectares (494 acres) near a 310-hectare former shipyard it took over in 2022, according to a senior official at the Subic Bay Metropolitan Authority, which manages the freeport zone.
Axios
5 days ago
- Business
- Axios
Pittsburgh aims to power AI future
Tech leaders in the Steel City see a big opening to expand. Why it matters: National figures are converging on the city Tuesday to pitch Pennsylvania as a future hub for energy-powered AI — and local companies, civic leaders and lawmakers want to lead the charge. Context: President Trump and Sen. Dave McCormick will be in Pittsburgh on Tuesday to promote a $70 billion plan to boost natural gas and data center development across Pennsylvania. What they're saying: Shiv Rao, CEO of AI medical documentation platform Abridge, said at the AI Horizons Summit event in the Strip District that Pittsburgh was key in launching his fast-growing company because the local talent was primed to be early in development of AI technology. Zoom in: Nicholas Robinson of Cerberus Capital Management said AI driven by domestic power is a national security matter and leaders like Sen. McCormick told him he is intent on making that point. Carnegie Robotics CEO John Barnes said he wants to see autonomous technologies expanded into the military, saying commercial companies like his are set up well to operate with the Department of Defense. Alan Shepard, president and CFO of natural gas company CNX Resources, said the Appalachian region has "everything that is needed for AI, including the power right under our feet." Pennsylvania held 106 trillion cubic feet of natural gas reserves as of 2022, the second most in the nation, just behind Texas, according to the U.S. Energy Information Administration. Gecko Robotics CEO Jake Loosararian said AI and robotics can help aging power plants in the Pittsburgh and Ohio Valley region run more efficiently and increase output. Caveat: Efforts to reinvent Pittsburgh after the collapse of the steel industry have come and gone. Fracking expanded in the 2010s, but the promised downstream manufacturing jobs never materialized. Autonomous vehicle companies boomed starting in 2015, and then moved, sold off or shut down by 2022. State of play: Monday's preview event came across as a sales pitch to national investors, with leaders trying to make the case that Pittsburgh is a smart bet for AI — and that the $70 billion investment is only the beginning.
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Business Standard
03-07-2025
- Business
- Business Standard
Private credit deals gaining momentum in India, says Cerberus MD Ghosh
The market is warming to large private credit deals in India, where local borrowers are typically less levered than their peers in the rest of Asia, according to Indranil Ghosh, managing director and head of pan-Asia special situations at Cerberus Capital Management. Cerberus, which has $65 billion under management globally, was among the anchor investors in Shapoorji Pallonji Group's $3.4 billion financing, the country's largest private credit deal to date. While deals of that scale are still a rarity, growing capital needs and relatively low leverage are building lenders' confidence in financing larger Indian deals, Ghosh said. Deals this year are already picking up. KKR Inc. inked its largest ever credit investment in India with a $600 million financing for conglomerate Manipal Group. And Indian clean energy producer Greenko Energy Holdings signed a $650 million private credit deal to buy back a stake in the company. Even three years ago, seeing multiple Indian deals larger than $100 million would've been unthinkable, Ghosh said. 'We expect this trend to continue as Indian companies have significant capital needs,' said Ghosh. A major draw for global investors like Cerberus has been Indian companies' balance sheets. On average the loan-to-value ratio among Indian private credit borrowers, which measures the size of a financing against its collateral, is about 40 per cent, Ghosh said. 'In the rest of Asia, and even in developed markets, the gauge would be over 60 per cent,' he added. Lower ratios give investors confidence they'll be repaid if borrowers are required to sell assets. Shapoorji's deal, for instance, closed at a loan-to-value ratio of about 16 per cent, one of the key factors that attracted global lenders like Ares Management Corp and Farallon Capital Management. Despite the market's growth, deal sizes in India, and Asia more broadly, still pale in comparison to more established private credit markets in the US and Europe. The region only accounts for about 7 per cent of the global market, according to a March PwC report, and lenders still tend to focus on smaller, higher-yielding or distressed deals. A rush of new local private credit funds setting up shop in India see this as an opportunity. Motilal Oswal Financial Services is opening its first private credit fund, and Kotak Alternate Asset Managers Ltd. has plans to raise as much as $2 billion, targeting returns between 18 per cent and 20 per cent. Even the government is piling in — with India's quasi-sovereign fund, the National Investment & Infrastructure Fund, planning to raise as much as $2 billion in its latest private credit fund, backed by global investors including the Abu Dhabi Investment Authority. The Trump administration's tariffs could also be a tailwind for India, as several asset allocators are 'increasingly exploring ways to diversify' into other parts of the global economy, said Ghosh. Challenges Remain Ghosh said he could see some asset quality issues for small- and mid-sized corporates with cyclical businesses or governance issues, but he does not anticipate any imminent large-scale defaults in Indian private credit. That's because most of the larger deals are backed by high-quality sponsors with strong assets and access to multiple sources of liquidity, he said. 'Indian large and mid-sized companies have significantly raised their governance standards when compared to 10 years ago,' he said. But when deals do go south, the avenues for resolution in India can be a deterrent to global capital. India technically limits corporate insolvency proceedings to 330 days, but the courts and lenders have grappled with perennial delays.
Mint
03-07-2025
- Business
- Mint
India Warming to Larger Private Credit Deals, Cerberus Says
(Bloomberg) -- The market is warming to large private credit deals in India, where local borrowers are typically less levered than their peers in the rest of Asia, according to Indranil Ghosh, managing director and head of pan-Asia special situations at Cerberus Capital Management. Cerberus, which has $65 billion under management globally, was among the anchor investors in Shapoorji Pallonji Group's $3.4 billion financing, the country's largest private credit deal to date. While deals of that scale are still a rarity, growing capital needs and relatively low leverage are building lenders' confidence in financing larger Indian deals, Ghosh said. Deals this year are already picking up. KKR Inc. inked its largest ever credit investment in India with a $600 million financing for conglomerate Manipal Group. And Indian clean energy producer Greenko Energy Holdings signed a $650 million private credit deal to buy back a stake in the company. Even three years ago, seeing multiple Indian deals larger than $100 million would've been unthinkable, Ghosh said. 'We expect this trend to continue as Indian companies have significant capital needs,' said Ghosh. A major draw for global investors like Cerberus has been Indian companies' balance sheets. On average the loan-to-value ratio among Indian private credit borrowers, which measures the size of a financing against its collateral, is about 40%, Ghosh said. 'In the rest of Asia, and even in developed markets, the gauge would be over 60%,' he added. Lower ratios give investors confidence they'll be repaid if borrowers are required to sell assets. Shapoorji's deal, for instance, closed at a loan-to-value ratio of about 16%, one of the key factors that attracted global lenders like Ares Management Corp and Farallon Capital Management. Despite the market's growth, deal sizes in India, and Asia more broadly, still pale in comparison to more established private credit markets in the US and Europe. The region only accounts for about 7% of the global market, according to a March PwC report, and lenders still tend to focus on smaller, higher-yielding or distressed deals. A rush of new local private credit funds setting up shop in India see this as an opportunity. Motilal Oswal Financial Services is opening its first private credit fund, and Kotak Alternate Asset Managers Ltd. has plans to raise as much as $2 billion, targeting returns between 18% and 20%. Even the government is piling in — with India's quasi-sovereign fund, the National Investment & Infrastructure Fund, planning to raise as much as $2 billion in its latest private credit fund, backed by global investors including the Abu Dhabi Investment Authority. The Trump administration's tariffs could also be a tailwind for India, as several asset allocators are 'increasingly exploring ways to diversify' into other parts of the global economy, said Ghosh. Ghosh said he could see some asset quality issues for small- and mid-sized corporates with cyclical businesses or governance issues, but he does not anticipate any imminent large-scale defaults in Indian private credit. That's because most of the larger deals are backed by high-quality sponsors with strong assets and access to multiple sources of liquidity, he said. 'Indian large and mid-sized companies have significantly raised their governance standards when compared to 10 years ago,' he said. But when deals do go south, the avenues for resolution in India can be a deterrent to global capital. India technically limits corporate insolvency proceedings to 330 days, but the courts and lenders have grappled with perennial delays. Improving those mechanisms is a requirement for many global investors still on the sidelines, who 'dislike lingering debt resolution processes,' Ghosh said. More stories like this are available on
Irish Times
05-06-2025
- Business
- Irish Times
Firm behind Project Eagle loan portfolio to be wound up
Directors of the company at the centre of the National Asset Management Agency 's (Nama) controversial Project Eagle deal expect to wind it up next year, according to its latest accounts. Promontoria Eagle, the company used by US investor Cerberus Capital Management to buy loans to mostly Northern Ireland-based borrowers from Nama in 2014, collected £526,606 (€626,000) from those debts last year, returns to the Republic's Companies' Registration Office show. Directors Donal O'Sullivan and David Greene state that the company expects to collect the outstanding loans within 12 months from May of this year, when they signed Promontoria Eagle's latest accounts, after which time the company will no longer be active. 'As a result it is the intention of the directors to wind down and liquidate the company following the realisation of the company's remaining assets,' they say. READ MORE [ Nama criticised over handling of 'success fee' in €1.6 billion Project Eagle sale after seven-year inquiry Opens in new window ] 'The directors expect this to occur within 12 months from the approval of the financial statements.' The accounts show that Promontoria Eagle lost £592,702 last year, following a profit of £362,850 in 2023. Cerberus paid Nama €1.6 billion for Northern Ireland-linked property loans worth a total of €6 billion in April 2014, giving the US investment giant the right to collect the debts or take ownership of the assets against which they were secured. Following a Dáil Committee of Public Accounts inquiry sparked by a row over the deal, the State's Comptroller and Auditor General found that Nama could have secured €220 million more for the loans. However, a subsequent commission of inquiry headed by solicitor Susan Gilvarry found the agency got the best price available. Cerberus was an active buyer of property loans from banks and Nama in the years following a financial crash in 2008 that threatened to leave the State insolvent. The US firm generally channelled finance to Irish companies established to hold the loans, such as Promontoria Eagle, through subsidiaries in the Netherlands. Cerberus used a combination of its own cash and loans from international banks to pay for its Irish activities. It then loaned this money to its companies in the Republic, allowing it take advantage of tax breaks on interest repayments given to property holding companies. The Oireachtas subsequently changed the law to end those tax breaks. Controversy erupted over Project Eagle in 2015, when it emerged that Ian Coulter, managing partner of Belfast solicitors' firm Tughans, transferred €7 million in fees from the transaction to an Isle of Man bank account without his firm's knowledge. Mr Coulter transferred the cash back to the firm and resigned, leading to claims that political and business figures in the North were to benefit from the cash. The row led to a criminal investigation in the North and the Committee of Public Accounts inquiry in the Republic.
