#United States #New York #private credit #Willow Tree #CLO II

Willow Tree Credit Partners Achieves Major Milestone

Willow Tree Credit Partners LP, a prominent player in the private credit alternatives landscape, has marked a significant milestone by successfully closing its second Collateralized Loan Obligation (CLO) at an impressive $502.3 million. This noteworthy achievement comes just two months after the firm closed its first CLO, demonstrating its rapid growth and expertise within the middle market direct lending sector.

The newly established CLO, referred to as Willow Tree CLO II, will be managed directly by Willow Tree itself, which retains all equity interests within its second managed fund complex. The arrangement underscores Willow Tree's commitment to maintaining a robust management structure as it expands its portfolio. In support of this initiative, GreensLedge Capital Markets acted as the sole placement and structuring agent, with legal counsel provided by Dechert, ensuring a solid foundational structure for the CLO's launch.

Jim Roche, the Chief Credit Officer of Willow Tree, expressed immense gratitude for the backing received from both existing and new investors. He highlighted that the issuance of two middle market CLOs at the end of 2024 stands as a crucial milestone in their corporate journey. Roche emphasized that these vehicles are anticipated to deliver substantial benefits to their investor base through the successful placement of rated debt securities, particularly through a BBB- layer for both CLO offerings. This success exemplifies the collaborative efforts of their dedicated team, who are committed to building a high-quality middle market direct lending portfolio, and presents an exciting opportunity for product line extension.

Since its inception in 2017, Willow Tree has made remarkable strides in the credit landscape, completing over 100 transactions across its managed funds and accounts, and focusing on the acquisition and nurturing of middle market companies. This framework not only solidifies their standing in the industry but also engenders trust and reliability among investors seeking flexible capital solutions.

About Willow Tree Credit Partners

Founded by industry veterans Tim Lower and Jim Roche, Willow Tree Credit Partners operates from its headquarters in New York City, with an additional office in Miami. With approximately $5 billion in assets under management (AUM), the firm specializes in providing innovative capital structure solutions and supplementary services to family-owned businesses and financial sponsors within the middle market. Their primary focus centers on senior secured, floating-rate loans, targeting resilient businesses with earnings before interest, taxes, depreciation, and amortization (EBITDA) between $5 million and $75 million.

Through a proactive origination strategy, which integrates a growing network of operating advisors and financial sponsors, Willow Tree is adept at tailoring capital solutions to meet the unique needs of its business clients. Impressive in its growth trajectory, Willow Tree's achievements not only reflect its operational prowess but also signal a promising future for continued expansion within the field.

For further details about Willow Tree and its offerings, please visit Willow Tree's official website.