Sound Point Capital Closes Third Direct Lending Fund

U.S. Direct Lending Fund III Closes with $1.2 Billion of Capital

NEW YORK--()--Sound Point Capital Management, LP (“Sound Point”), a leading global alternative credit manager with more than $45 billion in assets under management, today announced the final closing of Sound Point U.S. Direct Lending Fund III (“USDL III” or the “Fund”), its largest direct lending fund to date, with $1.2 billion of total investable capital. Additionally, Sound Point Direct Lending closed on a separately managed account that is expected to grow to more than $500 million.

USDL III includes a diverse range of sophisticated institutional investors, both new and existing, including insurers, pension funds, endowments, and family offices based in North America, Asia, Europe, and Australia.

Our strategy, which senior members of our team have managed together for more than 10 years, focuses on lending to established, smaller and mid-sized U.S. companies that have strong track records and that operate in stable industries,” said Tom Newberry, Chief Credit Officer and Portfolio Manager of Sound Point’s direct lending platform. “We view our market segment as less crowded, resulting in greater selectivity and strong risk-adjusted returns for our investors through a spread premium, lower leverage, and stronger documentation terms.”

USDL III pursues the same investment strategy as its predecessor funds, with a focus on core middle market, sponsor-backed companies. To date, the Fund has already committed more than $650 million of its investable capital, which includes equity commitments and available borrowings, across 33 investments and a wide range of industries. Total investable capital of USDL III is nearly double the size of its predecessor fund.

This strong result underscores Sound Point’s ability to deliver results for our investors and borrowers with a singular focus on differentiated credit solutions,” said Stephen Ketchum, Founder and Managing Partner of Sound Point Capital. “This is an energizing time for a firm like ours, which has multiple traded and private credit strategies, to take advantage of evolving markets and the once in a generation re-invention of the global financial system.”

About Sound Point Capital Management, LP

Sound Point is an alternative asset management firm founded in 2008 with particular expertise in credit strategies. Based in New York, with offices in London, Connecticut, Florida and California, the firm manages money on behalf of institutional investors including top-tier pensions, foundations, insurance companies, wealth management firms and family offices. Sound Point's strategies span the spectrum of liquid and illiquid credit alternatives and include funds and managed accounts focused on leveraged loans, special situations, distressed debt, structured credit, direct lending and commercial real estate. Sound Point currently manages $45+ billion of assets and was founded by Stephen J. Ketchum, who is the controlling shareholder. Five principals of Stone Point Capital LLC, as well as Blue Owl GP Stakes, a division of Blue Owl Capital Inc. [NYSE: OWL], and Assured Guaranty Ltd, through one or more subsidiaries, are strategic investors in our business. For more information, please visit Sound Point's website at www.soundpointcap.com

Contacts

Media Contact
Prosek Partners
Nadia Damouni / Bryan Darrow
Pro-SoundPoint@prosek.com

Contacts

Media Contact
Prosek Partners
Nadia Damouni / Bryan Darrow
Pro-SoundPoint@prosek.com