H.I.G. Capital Successfully Closes the $1 Billion Bayside Loan Opportunity Fund VII

H.I.G. Bayside Capital, the credit division of H.I.G. Capital focusing on special situations, is thrilled to announce the closure of its Bayside Loan Opportunity Fund VII, which reached a remarkable $1 billion in global financial commitments. This funding marks a pivotal moment for the firm as it continues to implement its strategic plan, targeting credit investment opportunities within the European middle market.

Strategic Development in Europe

Established in 2006, H.I.G. Bayside's European strategy primarily revolves around investing in secured first lien credits and special situations, aiming for equity-like returns. This methodology has led to consistently higher yields and reduced volatility compared to similar credit indexes. In fact, its predecessor, the H.I.G. Bayside Loan Opportunity Fund V, was awarded the title of "Best Performing Debt Fund" by Private Equity Wire/Bloomberg in 2022.

Co-founders and co-executive chairs, Sami Mnaymneh and Tony Tamer, expressed their excitement regarding this new fund. They highlighted H.I.G. as one of the most significant and proactive credit investors in the middle markets, leveraging their synergistic platform across North America, Europe, and Latin America. This robust network is reflected in the risk-adjusted returns generated through various market cycles.

Harnessing Investment Opportunities

Andrew Scotland and Duncan Priston, co-heads of H.I.G. Bayside Europe, conveyed their enthusiasm for the new capital which would be deployed in today's market, known for presenting lucrative investment chances, particularly as numerous leveraged European companies face financial hurdles. They are poised to effectively capitalize on these investment openings to maximize fund performance.

Jordan Peer Griffin, the global capital formation executive director, reiterated the goal of providing investors with a comprehensive array of opportunities across private equity, credit, and real assets in the middle market. He emphasized the strong interest and firm belief among sponsors in H.I.G.'s differentiated approach, which contributed to the successful capital raising effort, garnering substantial support from a globally diverse investor base including public and private pension plans, endowments, foundations, asset managers, consultants, funds of funds, financial institutions, and wealth managers across North America, Europe, Asia, and the Middle East.

Company Profile: H.I.G. Capital

H.I.G. Capital is a top-tier global alternative investment firm managing $66 billion of equity. Headquartered in Miami, with additional offices in major U.S. cities and affiliated international offices, the firm specializes in providing debt and equity capital to mid-sized companies. Its flexible, operationally-focused investment strategies have led to successful outcomes in both acquiring stakes in companies and driving value creation through various business operations.

Since its inception in 1993, H.I.G. has invested in over 400 businesses globally. Today, its portfolio includes over 100 companies with a total revenue exceeding $53 billion. For more details on H.I.G. and its various investment initiatives, please visit hig.com.

*Note: H.I.G. Capital manages its capital through various funds comprising equity, senior debt, unitranche, and junior debt across all sizes of companies, both on a primary and secondary basis.

Conclusion

The closure of the Bayside Loan Opportunity Fund VII not only highlights H.I.G. Capital's commitment to driving results through focused credit investments but also its ability to attract diverse global investors, signaling confidence in its investment approach and the potential for solid returns within the evolving European credit markets.