Amundi and First Eagle have launched a private credit fund to allow non-US investors access to First Eagle’s US private credit strategy.
The private credit sub-fund will be a feeder fund into First Eagle’s main strategy, where it will invest at least 85% of assets. The strategy focuses primarily on US mid-cap companies with an EBITDA between $5m and $50m.
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Fannie Wurtz, head of distribution and wealth division for the passive business line at Amundi, said: “The search for enhanced diversification, current income and additional sources of return is a common trend for a variety of professional investors, from institutions to wealth managers and HNWIs, who are increasingly shifting their allocation models.
“This is why we believe the launch of the Sub-Fund comes at an opportune time and offers a compelling investment opportunity for a wide range of investors in Europe, the Middle East and Asia.”
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Amundi and First Eagle have maintained a partnership for over 25 years. The strategy will be managed by Michelle Handy, CIO of direct lending; Robert Hickey, CIO of tradable credit; Larry Klaff, head of asset-based lending; and Garrett Stephen and Brian Murphy, co-heads of origination.
“We are excited to partner with Amundi to bring access to First Eagle’s US private credit strategy to the global market,” Handy said.
“By leveraging our 15-year track record of managing direct lending portfolios across various market environments, 50-plus investment professionals and a unique focus on lower US middle market borrowers, we believe the Sub-Fund should resonate with professional investors globally, in our view.”