Does Warburg have a Credit arm?
As the title says, if not, why? Would seem like a no-brainer as a route to expand on AUM if they wanted to.
As the title says, if not, why? Would seem like a no-brainer as a route to expand on AUM if they wanted to.
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Hey man, this isn’t an answer to your question. Just wanted to ask how you’ve been. Haven’t heard from you in a while.
They're pitching themselves as a focused "pure play" PE shop that isn't diluted/distracted by other asset classes, and is trying to avoid being seen as being just an asset accumulator.
That said, in a few years time, they might change that strategy when they see the low-hanging fruit for more fee revenue.
This ^^ similar reason for why they decided to stay private when all their peers have gone public
No run of the mill credit arm - they have a “Special Situations” team though, targets equity-like returns (15-20%) in hairy situations across the cap structure. Presumably that team that’s done the deal with Hertz alongside Centerbridge (Warburg doesnt do much stuff out of reorg otherwise).
Good mention.
There's a nice little overview on Petition 11 RE: Hertz & the PE sponsors.
Centerbridge + Warburg Pincus + Dundon Capital Partners
$565mm from PE sponsors in exchange for common stock + $385mm for 4% preferred
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