Get matched with a tax expert to do your taxes, https://www.businesswire.com/news/home/20230228005594/en/. During this conference call, we may discuss certain non-GAAP measures as defined by SEC Regulation G, such as adjusted net investment income or NII per share. Speaking on todays call will be CCAPs President and Chief Executive Officer; Jason Breaux; Chief Financial Officer, Gerhard Lombard; and Managing Director, Henry Chung. Please go ahead. Crescent is an alternative asset manager with approximately $40 billion 1 of assets under management and over 210 employees as of December 31, 2022. Id now like to turn it over to Henry to discuss our Q4 investment activity. With that, I will now turn it over to Gerhard. Crescent Credit. The total size of the investment portfolio is around USD 400 million which includes hydro, wind, solar assets under operation. As you can see on the left-hand side of the page, over 99% was an existing senior secured first lien and unitranche investments. A few more updates before I turn it over to Henry. Crescent raised its first fund in 1992 and has consistently been a leader in the private debt market, focusing on senior secured unitranche securities and junior debt. Investing in the future of finance, education, SaaS, logistics, and more. While we do anticipate further market volatility and the potential for spread widening as the cycle progresses, we feel good about our current portfolio, and we remain very excited about the First Eagle BDC transaction as we further enhance our scale and position. The total size of the investment portfolio is around USD 400 million which . Sorry, no results has been found matching your query. Capital raised by global funds reached almost $150 billion as of 30 September, up 19 percent year over year, Private Debt Investor reported. We will not be outlining additional details of the transaction on this call today, and we direct any interest investors to the proxy statement that was filed in January. Our GAAP earnings per share or net increase in net assets resulting from operations for the fourth quarter of 2022 was $0.08, which compares to negative $0.08 per share for the prior quarter. This website must be read in conjunction with the applicable offering documents or Private Placement Memorandum in order to understand fully all of the implications and risks of investing in real estate and a copy of the offering documents must be available to you in connection with any offering. You can get rich by returning 20% per year and compounding that for several years. Oops! And so on a pro forma combined basis, I think were going to end up sort of right in the middle of our target leverage range that we publicly stated as kind of 1.1 to 1.4. UAE-Based Edtech Startup Ostaz Is On A Mission To Become A One-Stop-Shop For Education, AirAsias Tony Fernandes Refocuses Back on a Superapp Just for Travel, Malaysia Healthcare Partners with AirAsia, Air India Express, AirAsia begin merger drill, MiL.k launched its first global point exchange service with airasia, Datactics Jamie Gordon on Big Financial Institutions and their Messy Datasets. Angel - Uber), Money Raised: Amount of money raised in Funding Round, Total number of investments made by investors in this hub, Announced Date: Date when the Investment is announced, Investor Name: Name of the investor who participated in the Investment, Funding Round: Name of the funding round where the Investment is made, Number of Investors: Total number of Investors in a Funding Round, Total number of lead investment firms and individual investors that invested in organizations of this hub, Total number of investment firms and individual investors that invested in organizations of this hub, Organization/Person Name: Name of the Organization or Person, Location: Where the organization is headquartered, Investor Type: This describes the type of investor this organization or person is (e.g. Get the full list, Youre viewing 4 of 6 team members. bdcir@crescentcap.com. But can you give us any color on how the portfolio companies are actually performing on EBITDA or revenue or anything like that? Only logged in subscribers of this site will be able to access the shared article. Please go ahead. ", "Crescent add value across business development, acquisition and enhancement activities. This dynamic is evidenced by our internal portfolio ratings at the end of the fourth quarter, largely consistent with prior quarters with 87% of the portfolio rated 1 or 2, our highest rating categories. Jason reviewed several metrics related to our portfolio. If youre looking for capital and an active partner to accelerate the growth of your business or thinking about exiting by bringing in new investors, please feel free to contact me by phone or email to find out more. Information on investments, active portfolio, exits, fund performance, dry powder, team and co-investors for Crescent Capital. We appreciate your continued interest in CCAP. Networking We provide expertise and exposure to a network of relevant business contacts. Robert Dodd: Got it. That being said, the broader Crescent private credit platform remained active with over $800 million of capital committed to new portfolio investments during the fourth quarter and over $5.5 . Real Estate Portfolio Direct and LP investments across various asset types across the United States, including commercial, retail, multi-family, residential, hotel, development, self-storage and RV Parks. So lets begin. S&P 500 Index generated an average annual compounded return of only 9.2% during the same 10-year period. Crescent Capital is a Belfast based venture capital fund manager. So, how did Warren Buffett manage to generate high returns and beat the market? This is basically a recipe to generate better returns than Warren Buffett is achieving himself. Warren Buffett never mentions this but he is one of the first hedge fund managers who unlocked the secrets of successful stock market investing. Click here. Excuse me. I believe he will not only run again next year, but could win a 2nd Presidential term and by a LANDSLIDE. It has a well-diversified portfolio and is unique in that it also has international exposure. We thank you for your participation and ask that you please disconnect your lines. Use of this website is governed by the Terms and Conditions. As of December 31, 2022, Crescent Capital Group managed approximately $40 billion of privately originated debt investments and marketable securities. As a reminder, this call is being recorded for replay purposes. Great. We believe an active engagement model is a leading indicator of strong company performance. Our credit culture focused on preservation of capital has led to a highly diversified portfolio invested largely in the resilient industries. The obvious, I mean, how you gave the interest coverage based on year-end rates. Please turn to Slide 15 where we highlight our recent activity. In addition, a reconciliation of this measure may also be found in our earnings release. For this period, the Company had $277.6 million in aggregate exits, sales and repayments. Our team have over 30 years experience assisting healthcare businesses accelerate growth. Crescents track record is successfully managing through multiple economic and market cycles, provides us with significant and relevant experience navigating what could be a challenging environment in 2023 and beyond. On a GAAP basis, fourth quarter net investment income per share was $0.52. Henry Chung: Thanks, Jason. Were any of the follow-on was any of the follow-on capital to the portfolio companies to pad out liquidity? LP investments in high-growth and distressed companies in the United States and abroad. The company believes that adjusted NII per share provides useful information to investors regarding financial performance because its one method the company uses to measure its financial condition and results of operations. This serves to drive growth and performance improvement, accelerating value creation for shareholders. In our view, our long-term track record of strong credit performance and NAV stability since inception demonstrates the merits of our proven investment process as we work to deliver attractive results to our shareholders. You talked about, obviously, youve lowered leverage ahead of that acquisition. We take great pride in building long term partnerships with our investors based on an established reputation for delivering consistently strong performance. "Jonathan brings a wealth of investor relations experience to Crescent, and we are excited for his leadership as we seek to grow our client relationships and respond to the increasing demand for our alternative credit offerings," said Jean-Marc Chapus, Managing Partner and Co-Founder of Crescent Capital Group. An offering is made only by the applicable offering documents and only in those jurisdictions where permitted by law. Get our editors daily picks straight in your inbox! Jason Breaux: Thanks, Gerhard. Website by GCI. Weve generated significant investment income in the form of fees, dividends and accelerated amortization of OID from the Alcentra portfolio over close to the last two years having realized 136% of our cost basis with approximately $22 million of unrealized value remaining. An investment in Crescent BDC is different from a direct investment in any of the asset types shown above. Jason Breaux: Thank you, Dan. He also served as a member of the hedge fund solutions group at The Blackstone Group, L.P., where he focused on business development efforts across the Northeast and Southeast U.S. working with a diverse array of institutional clients. . As of December 31, 99% of our debt investments at fair value were floating rate with a weighted average floor of 80 basis points, which compares to our 72% floating rate liability structure based on debt drawn with no floors. In particular, in the past 10 years Crescent has been the most active private equity manager in healthcare in Australia. Taseko Mines Limited (AMEX:TGB) Q4 2022 Earnings Call Transcript, Smith & Nephew plc (NYSE:SNN) Q4 2022 Earnings Call Transcript. Thank you. And we remain well diversified across 18 industries and continue to lend almost exclusively to private equity-backed companies with 98% of our debt portfolio in sponsor-backed companies as of year-end. Crescent Capital Group LP ("Crescent"), a leading alternative credit investment firm, announced today the successful final close of its eighth private credit solutions fund, Crescent Credit Solutions VIII ("CCS Fund VIII"), raising $8 billion in investable capital, including targeted leverage and separately managed . secretly invested like a closet index fund), Warren Buffett would have pocketed a quarter of the 37.4% excess return. 30+ years experience in operating roles and M&A, 20+ years in healthcare sector including private equity investments, 20 years experience in strategy consulting, private equity and banking, 25+ years experience in financial management and accounting, 15 years experience in strategy consulting and private equity. CCS Fund VIII Becomes Largest Capital Raise in Crescent's History. Or is that just a timing? This situates us well to benefit from increases in base rates above our average floors as is the case this quarter with continued growth in our interest income line item. Which companies in this hub have the most subsidiaries? Use of this website is governed by the Terms and Conditions. 87% in this quarter were raising one or two, so it appears pretty stable. The Firm believes that these high-yield assets will deliver strong cash-flow focused returns for investors. Passive Investing: Which Real Estate Strategy is Right for You. Series A, Seed, Private Equity), Average of the Crunchbase Ranks of the organizations in this hub, Organization Name: Name of the Organization, Total Funding Amount: Total amount raised across all funding rounds, CB Rank (Organization): Algorithmic rank assigned to the top 100,000 most active Organizations, Trend Score (30 Days): Movement in Rank over the last 30 days using a score from -10 to 10, Total number of funding rounds associated with this hub, Total funding amount raised across all funding rounds, Total number of acquisitions made by organizations in the hub, Announced Date: Date that the Funding Round was publicly announced, Organization Name: Name of the organization that got funded, Transaction Name: Auto-generated name of transaction (e.g. Continued strong performance ratings and low nonaccrual levels. The health of the portfolio is also demonstrated by the stable weighted average portfolio grade and low nonaccrual rates. Our adjusted net investment income per share of $0.49 for the fourth quarter of 2022 compares to $0.42 per share for the prior quarter and $0.43 per share for the fourth quarter of 2021. He began his investing career at Focus Partners, LLP, a Singapore-based long/short equity hedge fund focused on Southeast Asia. Crescent Capital Group is headquartered in Los Angeles with offices in Boston, London, and New York. Do you expect to be running on a combined basis going forward? $30MM Weighted Average Portfolio Company EBITDA, Disciplined portfolio construction with average position size <1% of total fair value. In the same report you can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12-24 months. We redeployed the majority of the proceeds from this monetization activity primarily into directly originated higher spread Crescent private credit opportunities. As you can see on the right-hand side of the slide, we have a low level of debt maturities over the next few years with $150 million maturity related to our 5.95% unsecured notes in July 2023. This increase was driven primarily by rising base rates and higher spreads. With more than 100 investment professionals and over 200 employees, the firm invests at all levels of the capital structure, with a significant focus on below investment grade credit through strategies that invest in senior bank loans, unitranche loans, high yield debt, mezzanine debt, and other private debt securities. We have consistently been able to deliver significant value-add alongside our management teams. We specialize in repositioning well-located assets in emerging markets to protect investor capital and provide high yield returns. He launched his hedge fund in 1956 with $105,100 in seed capital. The company's 90% portfolio is performing above expectations, while 89% of its portfolio. Im going to ask you a question that sort of relates to credit . Consistent with Crescents track record of investing through cycles over the past 30-plus years, we believe we have constructed a portfolio that consists of companies that are adequately capitalized to address the current macroeconomic environment and have taken a proactive approach to bolstering liquidity in select situations where it may be warranted. And with that, operator, please open the line for questions. For example S&P 500 Index returned 43.4% in 1958. The in house depth and breadth of consulting and operating skill sets provides support for portfolio companies to achieve their potential. Additionally, the strength of our portfolio continues to benefit from the substantial amount of equity invested in our companies. The first question comes from Robert Dodd of Raymond James. Mr. Harari added, "Crescent has a multi-decade history of outstanding team continuity and investment focus in both public and private credit. We did intentionally delever a bit here in Q4 in anticipation of the merger. Crescent Bit Capital is a type of secure investment that grows your money at a guaranteed rate based of chosen plan of interest for a fixed period of time. We are a community of like-minded real estate investors who together have a stronger purchasing power to acquire and operate multi-family properties for their potential of hands-free, tax-free passive income. Use the PitchBook Platform to explore the full profile. Crescent Capital Group LP ("Crescent"), a leading alternative credit investment firm, announced today the successful final close of its eighth private credit solutions fund, Crescent Credit Solutions VIII ("CCS Fund VIII"), raising $8 billion in investable capital, including targeted leverage and separately managed . We see several investors trying to strike it rich in options market by risking their entire savings. A couple more worth highlighting. He most recently served as Executive Vice President at PIMCO based in New York City, where he led business development across large corporate pensions, family offices, endowments, foundations and healthcare institutions. I mean how would the how are the operating trends doing? An investment in Crescent BDC is different from a direct investment in any of the asset types shown above. That nonrecurring income has now been replaced by recurring yield related income from Crescents originated assets. Our weighted average portfolio grade of 2.1 was unchanged as compared to the past few quarters, and the percentage of risk rated one and two investments, the highest ratings our portfolio companies can receive accounted for 87% of the portfolio at fair value, down modestly from last quarter. Crescents investment success across education, services and mining technology has helped innovative Australian businesses compete on a global stage. Im on Slide 19. to generate high returns in the 20% to 30% range. As of December 31, 2022, Crescent Capital Group managed over $40 billion of privately originated debt investments and marketable securities. Not the case? I think you said something to the effect of the portfolio companies have adequate liquidity, and in some cases, its been addressed or something like that. To opt-in for investor email alerts, please enter your email address in the field below and select at least one alert option. The firm seeks to invest in middle-market companies across Australia and New Zealand with a focus on the industrial, financial services, healthcare, consumer brands, technology, and education sectors. After submitting your request, you will receive an activation email to the requested email address. Robert Dodd: Hi guys. Importantly, we generated net realized gains for the full year 2022, delivering positive realized gains in excess of our losses. S&P 500 Index lost 10.8% in 1957, so Buffetts investors actually thrilled to beat the market by 20.1 percentage points in 1957. This list of organizations invested in by Crescent Capital provides data on their funding history, investment activities, and acquisition trends. Don't have an account? Crescent Capital's shares are likely to rebound, as fundamental factors don't support the downtrend. Crescent is an alternative asset manager with approximately $40 billion1of assets under management and over 210employees as of December 31,2022. The company assumes no obligation to update any such forward-looking statements. Our team have been drawn from top tier strategy consulting practices and operating leadership roles in industry. In this report, "we," "us," "our" and "Company" refer to Crescent Capital BDC, Inc. and its consolidated subsidiaries. Net realized losses were less than $0.05 per share. That being said, the broader Crescent private credit platform remained active with over $800 million of capital committed to new portfolio investments during the fourth quarter and over $5.5 billion for the full year. Because were invested in a largely first lien and unitranche focused portfolio, having largely rotated out of legacy Alcentra names and our broadly-syndicated bank loan joint venture, we expect to generate a high quality of top line revenue, primarily consisting of recurring scheduled interest income. A couple of reminders as it relates to the transaction. Win whats next. His investors didnt mind that he underperformed the market in 1958 because he beat the market by a large margin in 1957. Well, its almost entirely because of a surprising July 25th twist that hardly anybodys talking about right now. All information contained in this website is qualified by the terms of applicable offering documents. There are significant risks that should be considered and reviewed when considering an investment in real estate. Healthcare is Crescent's largest sector by investment. Crescent has launched and fully invested the first energy-focused private equity fund in Turkey. Total investment income again reached its highest level since inception and recurring yield related investment income continues to grow in both absolute dollars and as a percentage of our total revenue, which Gerhard will provide more color on. Privacy Policy 2023 Crescent Capital Investments Average Retirement Savings By Age: Are You Normal? Our net asset value per share ended the year at $19.83, down 1.6% as compared to the prior quarter. Read More Our Strategy Learn more about our investing strategy. You should only be asked to sign in once. We are an equity partner that brings more than money to the relationship. Mr. Harari brings more than 15 years of investment experience to Crescent Capital. Get the full list, Youre viewing 10 of 31 exits. As you can guess, Warren Buffetts #1 wealth building strategy is to generate high returns in the 20% to 30% range. Crescent Capital Group LP has closed its eighth private credit fund at $8 billion. Operator: Ladies and gentlemen, this does conclude our conference call for today. You can sign up for additional alert options at any time. Investors in our funds include both domestic and international pension funds and endowments. Before we begin, Ill start with some important reminders. You can sign up for additional alert options at any time. We are proud to have globally leading NPS scores with our executive partners. KEY HIGHLIGHTS Generated significant excess cash flow of approximately $1.2 billion, driven by a strong netback asset base. This call is being recorded on Thursday, February 23, 2023. The company has a one-year high of $10.68 and a one . We believe that these asset classes provide our clients with opportunities to generate income while preserving capital. A link has been emailed to you - check your inbox. There are no further questions at this time. Crescent Credit Solutions VIII's backers include insurance companies, pension funds, sovereign wealth funds, financial institutions, and multi-employer plans. ", "Crescent partnered with us and assisted in achieving our growth targets. Finally, for the first quarter of 2023, our Board declared a $0.41 per share quarterly cash dividend, which will be paid on April 17, 2023, to stockholders of record as of March 31, 2023. PitchBooks data visualizations quickly surface an investors historical investmentsshowing a breakdown of activity by industry, year and region. With a reputation for delivering strong performance through a structured and disciplined approach to investment management, our team works actively alongside senior management to drive organic growth and value creation in invested companies. Crescent BDC's portfolio, at any given point in time, may be comprised of some, all or none of the asset types shown. | CCS Fund VIII Becomes Largest Capital Raise in Crescent's History. here to register, Not for publication, email or dissemination, Whitehorse Liquidity Partners grows team to 150 professionals, PE-backed Chartbeat acquires Lineup Systems and Tubular Labs, Industrial manufacturing round-up; Personal care products; 2023 Women in PE, EQT and PSP team up on Radius acquisition; Charlesbanks Caitlin Riederer talks women in PE, Introducing the Women in PE Class of 2023; Lincoln Road partially exits Brothers National, Fengate Private Equity-backed Inflector snaps up Donalco, Audax-backed Colony acquires New South Construction Supply. "Crescent were willing to invest initially and on a continued basis to maintain our technologically leadership position. We continue to believe that CCAP remains well positioned to navigate the economic and market uncertainty ahead. The good news is, this powerful new force can help you make a lot of money even in a bear market. 2023 PitchBook. Terms & Conditions From cross portfolio introductions and business development, provision of consulting style support on key projects, through to assisting portfolio companies through major strategic change, the Crescent investment team has a unique blend of high end consulting and operational skill sets to support the investee companies.
Fort Hill Cemetery Famous Graves,
King Of Cups And 6 Of Cups,
Where To Take Tennis Lessons In Nyc,
Active Missile Silos In Arkansas,
Articles C