Latest news with #SilverPointCapital
Bloomberg
3 days ago
- Business
- Bloomberg
Thames Water Enters Key Month to Hammer Out Terms of Rescue Deal
Thames Water's financial rescue is entering a decisive month, as suitors haggle over creditor losses and the future of the indebted utility. US infrastructure giant KKR & Co. and a group of the company's creditors including Silver Point Capital and Elliott Management are due to submit their plans for fixing Thames to regulator Ofwat by the end of Friday. Negotiations are expected to run throughout June with agreement in summer — but for that, the successful bidder will need to cut a deal with the debtholders that currently control the company on the scope of their losses.
Zawya
4 days ago
- Business
- Zawya
Companies turn to private credit during tariff turmoil for loans
Tariff uncertainty and market volatility have sent some companies looking for a flexible, more certain route to funding from private credit firms, resulting in the spurning of traditional lenders in some cases. A number of companies have selected loans from private credit providers over traditional forms of credit since the beginning of April when back-and-forth policy over tariffs created market choppiness. Analysts and bankers forecast that private credit, a $2 trillion industry that has grown from $500 million a decade ago, benefited from the volatility. "When you have volatility, it becomes relatively harder for the banks to place new deals into the syndicated loan market," said Mike Koester, a former Goldman Sachs executive who co-founded 5C Investment Partners, a private credit investing firm. "And that is when private credit takes more share because it already has the capital and it can lend directly where it is required." Recent examples have been Lakeview Farms, which sought to fund its $200 million buyout of yogurt-maker Noosa in April. Lakeview chose to obtain a loan from private credit firm Silver Point Capital because it offered more flexible financing than traditional lenders like banks via the syndicated loan process, two sources told Reuters. Citigroup was initially leading the loan talks, one of the sources said. Citi declined to comment. Lakeview did not respond to a Reuters query for comment. In another transaction, Blackstone and Apollo Global Management jointly led the private credit financing of about $4 billion for Thoma Bravo's acquisition of Boeing's Jeppesen navigation unit alongside other investors, two sources said. "At the moment, private credit is very competitive," said Ted Swimmer, head of capital markets and advisory at Citizens Financial, which sometimes competes with private credit companies. It also lends to them and works with them on deals. "We were structuring a couple of syndicated loans but we could not price those loans competitively given the market volatility and lost the deals to private credit bids." The total number of syndicated loans in the U.S. declined by 15% between January and May 21 versus the same period last year, according to Dealogic, as bankers said volatility in markets slowed public markets. Direct lending transactions - which directly compete with the syndicated loan market and usually involve a handful of private credit funds - have fallen at a slower pace of 10% in the first quarter from the same period a year earlier, PitchBook's Leveraged Commentary & Data shows. There has been an increase in direct lending credit deals in April and May, two sources at private credit firms and a banker said. Private credit may be more expensive than traditional lending, but it offers more flexible terms for structuring a transaction, industry players say. This can include flexible loan terms, repayment schedules, covenants, and collateral requirements, unlike more standardized underwriting models for banks. The Lakeview deal, announced on April 8, came at a time when credit spreads for borrowers had widened sharply as financial markets tumbled in the wake of President Donald Trump's sweeping tariff announcements. "Volatility is often not the friend of the public financing markets," Brad Marshall, global head of private credit strategies at Blackstone Credit & Insurance, told Reuters. "In many cases, it is very much a friend of the private markets because it is more reliable as you're taking a longer-term view." INDUSTRY GROWTH The growth in private credit came after stricter regulations put in place after the 2007-09 financial crisis made it more expensive for banks to finance risky loans to debt-ridden companies. Direct lenders, often nonbank entities like private equity firms and asset managers such as Apollo, Ares Management and KKR, are sometimes seen as a more viable financing option than traditional banks due to their ability to offer more flexible terms and leverage. More borrowers are turning to private credit, which can provide greater certainty relative to the broadly syndicated markets, said Kort Schnabel, partner and co-head of U.S. Direct Lending at Ares. "During volatile markets, the value of certainty increases," he said. Another key lender, Apollo, did not respond to a request for comment. Large Wall Street lenders including JPMorgan Chase, Morgan Stanley and Goldman Sachs have also set aside billions of dollars for direct lending and have been participating in some of these deals, sources said. Goldman Sachs, JPMorgan and Morgan Stanley declined to comment. "We believe that private credit will accumulate greater market share amidst the volatility," said Marc Pinto, Moody's Ratings global head of private credit. "They're a bit more agile." (Reporting by Nupur Anand and Saeed Azhar in New York, Additional reporting by Tatiana Bautzer in New York, Editing by Lananh Nguyen, Megan Davies and Matthew Lewis)
Reuters
4 days ago
- Business
- Reuters
Companies turn to private credit during tariff turmoil for loans
NEW YORK, May 29 (Reuters) - Tariff uncertainty and market volatility have sent some companies looking for a flexible, more certain route to funding from private credit firms, resulting in the spurning of traditional lenders in some cases. A number of companies have selected loans from private credit providers over traditional forms of credit since the beginning of April when back-and-forth policy over tariffs created market choppiness. Analysts and bankers forecast that private credit, a $2 trillion industry that has grown from $500 million a decade ago, benefited from the volatility. "When you have volatility, it becomes relatively harder for the banks to place new deals into the syndicated loan market," said Mike Koester, a former Goldman Sachs executive who co-founded 5C Investment Partners, a private credit investing firm. "And that is when private credit takes more share because it already has the capital and it can lend directly where it is required." Recent examples have been Lakeview Farms, which sought to fund its $200 million buyout of yogurt-maker Noosa in April. Lakeview chose to obtain a loan from private credit firm Silver Point Capital because it offered more flexible financing than traditional lenders like banks via the syndicated loan process, two sources told Reuters. Citigroup (C.N), opens new tab was initially leading the loan talks, one of the sources said. Citi declined to comment. Lakeview did not respond to a Reuters query for comment. In another transaction, Blackstone (BX.N), opens new tab and Apollo Global Management (APO.N), opens new tab jointly led the private credit financing of about $4 billion for Thoma Bravo's acquisition of Boeing's BA.N Jeppesen navigation unit alongside other investors, two sources said. "At the moment, private credit is very competitive," said Ted Swimmer, head of capital markets and advisory at Citizens Financial, which sometimes competes with private credit companies. It also lends to them and works with them on deals. "We were structuring a couple of syndicated loans but we could not price those loans competitively given the market volatility and lost the deals to private credit bids." The total number of syndicated loans in the U.S. declined by 15% between January and May 21 versus the same period last year, according to Dealogic, as bankers said volatility in markets slowed public markets. Direct lending transactions - which directly compete with the syndicated loan market and usually involve a handful of private credit funds - have fallen at a slower pace of 10% in the first quarter from the same period a year earlier, PitchBook's Leveraged Commentary & Data shows. There has been an increase in direct lending credit deals in April and May, two sources at private credit firms and a banker said. Private credit may be more expensive than traditional lending, but it offers more flexible terms for structuring a transaction, industry players say. This can include flexible loan terms, repayment schedules, covenants, and collateral requirements, unlike more standardized underwriting models for banks. The Lakeview deal, announced on April 8, came at a time when credit spreads for borrowers had widened sharply as financial markets tumbled in the wake of President Donald Trump's sweeping tariff announcements. "Volatility is often not the friend of the public financing markets," Brad Marshall, global head of private credit strategies at Blackstone Credit & Insurance, told Reuters. "In many cases, it is very much a friend of the private markets because it is more reliable as you're taking a longer-term view." The growth in private credit came after stricter regulations put in place after the 2007-09 financial crisis made it more expensive for banks to finance risky loans to debt-ridden companies. Direct lenders, often nonbank entities like private equity firms and asset managers such as Apollo, Ares Management (ARES.N), opens new tab and KKR (KKR.N), opens new tab, are sometimes seen as a more viable financing option than traditional banks due to their ability to offer more flexible terms and leverage. More borrowers are turning to private credit, which can provide greater certainty relative to the broadly syndicated markets, said Kort Schnabel, partner and co-head of U.S. Direct Lending at Ares. "During volatile markets, the value of certainty increases," he said. Another key lender, Apollo, did not respond to a request for comment. Large Wall Street lenders including JPMorgan Chase (JPM.N), opens new tab, Morgan Stanley (MS.N), opens new tab and Goldman Sachs (GS.N), opens new tab have also set aside billions of dollars for direct lending and have been participating in some of these deals, sources said. Goldman Sachs, JPMorgan and Morgan Stanley declined to comment. "We believe that private credit will accumulate greater market share amidst the volatility," said Marc Pinto, Moody's Ratings global head of private credit. "They're a bit more agile."
Wall Street Journal
14-05-2025
- Business
- Wall Street Journal
California Billionaires Pay $48.5 Million for Oceanfront Villa in Palm Beach
A 1930s home on the ocean in Palm Beach, Fla., has sold for $48.5 million, just shy of the $54.9 million asking price. The buyers are Southern California-based billionaires Duane and Kelly J. Roberts, who are food and real-estate entrepreneurs. The seller is Edward Mulé, co-founder and CEO of Silver Point Capital, a Greenwich, Conn.-based investment firm. Mulé bought the house for $15.01 million in 2019, property records show, and put it on the market in February.
Yahoo
01-05-2025
- Business
- Yahoo
CO-DEVELOPERS CHARNEY COMPANIES AND TAVROS CLOSE ON 175 THIRD STREET, THE LARGEST NEW DEVELOPMENT IN GOWANUS
Two Loans Totaling $145 Million Secured; Lenders are Silver Point Capital and Brodsky/Tikehau Capital BROOKLYN, N.Y., May 1, 2025 /PRNewswire/ -- Charney Companies and Tavros today announced significant funding for 175 Third Street, the planned fourth building in their jointly developed campus Gowanus Wharf. Once completed, 175 Third Street will be the largest building in Gowanus, with approximately 1 million square feet and 1,000 residences. Upon completion of the project, Charney and Tavros will have developed and will own over 2 million square feet and 2,200 residences in Gowanus, making them the largest owner in the neighborhood. Two acquisition/pre-development loans totaling $145 million have been secured, with Silver Point Capital providing $110 million and Brodsky/global alternative asset manager Tikehau Capital providing $35 million as the mezzanine lender. "This acquisition represents a major step forward in our vision for Gowanus Wharf and we truly value the commitment of our partners, Silver Point Capital and Brodsky/Tikehau Capital," said Justin Pelsinger, COO Charney Companies. "We're thrilled to secure this significant site, our fourth in the portfolio, and embrace the opportunity it presents. Our focus will be on delivering high-quality, much-needed housing for New Yorkers and actively participating in the positive transformation and further development of the vibrant Gowanus neighborhood." With 37,000 square feet of publicly accessible waterfront esplanade and open space, 175 Third Street is directly across from Whole Foods and is considered the southern gateway to Gowanus. Design and landscape elements will be led by James Corner Field Operations, the renowned landscape architects whose works include the High Line in Manhattan, Fresh Kills Park on Staten Island, and Domino Park in Brooklyn. "175 Third represents the culmination of our work in creating Gowanus Wharf as the market leading new residential innovation in New York City, said Nicholas Silvers, Founding Partner, Tavros. "This project will crystallize all of the incredible efforts from the community board, elected and the surrounding special Brooklyn neighborhoods to rezone and elevate what is possible in NYC when the public and the private sectors work together to achieve great things." "We are excited to partner with Charney Companies and Tavros in the acquisition of this dynamic project," said Anthony DiNello, Head of Direct Lending, Silver Point Capital. "The development of new, high-quality, transit-oriented projects is critical, and we look forward to supporting Charney and Tavros in bringing 175 Third Street to fruition." "The Brodsky Organization is proud to provide mezzanine financing to Tavros and Charney alongside our partners at Tikehau. Together, Brodsky and Tikehau are committed to providing financing solutions and contribute to the vibrancy and growth of emerging neighborhoods like Gowanus," said Thomas Brodsky of Brodsky. "We are proud to support the next chapter of the Gowanus transformation with Charney Companies and Tavros, building upon a strategic partnership with The Brodsky Organization," said Maxime Laurent-Bellue, Co-head of Credit and Edoardo Crotta, executive director within the Real Estate Credit team, Tikehau Capital "This investment reflects the strength of our growing global credit franchise and marks a significant step in our expansion into the U.S. real estate market. We are committed to financing high-impact, forward-looking developments that deliver long-term value for communities and investors alike." A JLL team led by Senior Managing Directors Christopher Peck and Peter Rotchford, Senior Director Nicco Lupo, Managing Director Lauren Kaufman, and Vice President Jonathan Faxon represented the borrowers. About Charney Companies:Founded in 2013, Charney Companies is a fully integrated real estate development, construction, brokerage, and management firm with a focus on developing, owning, and operating first-class residential and commercial real estate in the New York City Metro area. From ground-up construction to adaptive reuse and value-add repositioning, Charney plays an integral role in all aspects of the development process and leverages the expertise and experience of their principals to deliver superior products to the marketplace and best-in-class returns for their investors. Charney owns, operates, and is under construction on two million square feet throughout Brooklyn and Queens, and has won awards and accommodations from municipal organizations and media outlets for their work over the last 5 years. For more information, visit: About Tavros:Tavros is a privately-owned real estate investment management and development firm. They invest on a discretionary basis, with a strong focus on New York City, and a global investor base of family offices, trusts, high net worth individuals, and institutions. Core to the Tavros discipline is the quality of its partnerships with tenants, investors, and lenders. As an owner and property manager, Tavros aims to ensure a positive experience for its tenants through attention to detail and a focus on quality of life. About Silver Point:Silver Point is a leading global credit investing firm founded in 2002. With a dedicated team of over 350 employees, Silver Point oversees $38 billion in investable assets across a comprehensive credit platform that includes public and private investment strategies. Silver Point's Direct Lending business has delivered customized financing solutions to middle-market companies across a broad range of industries. It works in close partnership with borrowers, developing a thorough understanding of their businesses and addressing a wide variety of capital needs with speed and certainty. Silver Point's flexible mandate is designed to allow clients to execute on M&A activity, refinancings and growth capital, among a range of transaction types. Silver Point's Direct Lending business manages over $16 billion in investable assets. For more information, please visit About Brodsky:The Brodsky Organization is one of Manhattan's most established developers, owners, and managers of residential and commercial spaces in New York City. The Brodsky Organization's relationship with its residents is the foundation of its success. Every element of building life is supported by a dedicated and attentive management team. The Brodsky Organization offers intelligently designed apartments with exceptional views, which are in some of the most desirable neighborhoods in Manhattan and Brooklyn. The company has developed over 10,000 apartments in more than 85 rental, condominium, and co-op buildings. The portfolio ranges from charming brownstones to renovated pre-war doorman buildings, to newly constructed high-rises with extensive building amenities. The neighborhoods span from West and Greenwich Village to Chelsea, Midtown West to Morningside Heights, and Midtown East to Carnegie Hill and Downtown Brooklyn. About Tikehau Capital:TiTikehau Capital is a global alternative asset management Group with €50.6 billion of assets under management (at 31 March 2025). Tikehau Capital has developed a wide range of expertise across four asset classes (credit, real assets, private equity and capital markets strategies) as well as multi-asset and special opportunities strategies. Tikehau Capital is a founder-led team with a differentiated business model, a strong balance sheet, proprietary global deal flow and a track record of backing high quality companies and executives. Deeply rooted in the real economy, Tikehau Capital provides bespoke and innovative alternative financing solutions to companies it invests in and seeks to create long-term value for its investors, while generating positive impacts on society. Leveraging its strong equity base (€3.2 billion of shareholders' equity at 31 December 2024), the Group invests its own capital alongside its investor-clients within each of its strategies. Controlled by its managers alongside leading institutional partners, Tikehau Capital is guided by a strong entrepreneurial spirit and DNA, shared by its 750 employees (at 31 March 2025) across its 17 offices in Europe, the Middle East, Asia and North America. Tikehau Capital is listed in compartment A of the regulated Euronext Paris market (ISIN code: FR0013230612; Ticker: For more information, please visit: CONTACTS: Barbara Wagner Barbara Wagner Communications (917) 751-4387 barbara@ Elana Van Patten Barbara Wagner Communications (315) 440-7554 elana@ View original content to download multimedia: SOURCE Gowanus Wharf
