HPS Investment Partners has continued to attract commitments for its flagship junior capital solutions strategy with the $17 billion close of Strategic Investment Partners V.
Investors in the fund include: the Louisiana Teachers’ Retirement System ($25 million); Minnesota State Board of Investment ($100 million); and the Virginia Retirement System ($350 million).
The fund is the fifth vintage of HPS’s flagship junior capital solutions strategy, which has put over $36 billion to work since its 2008 inception. The focus remains on offering customized financing to established businesses in North America and Western Europe. Investments are sourced directly from private and public companies as well as private equity-backed businesses across a broad array of industries that represent resilient, non-cyclical sectors.
“We believe the current market environment presents a rich set of opportunities for us to pursue as companies continue to seek strategic partners and scaled platforms that can develop and execute bespoke financing solutions with speed and certainty,” said Scot French, governing partner of HPS and portfolio manager of the fund.
So far, the fund has deployed 37% of its investable capital or $6 billion across 24 investments. As of March 2023, HPS has over $100 billion in assets under management.
“We have continually differentiated our platform through delivering tailored risk/return solutions for the world’s largest and most sophisticated investors as they construct their private and tradable credit portfolios, with a steadfast focus on capital preservation,” added Scott Kapnick, CEO of HPS. “We are pleased to be able to continue building on this track record and are grateful to the investors who have entrusted their capital to our firm. We look forward to further developing these valued partnerships and helping our clients achieve their investment objectives.”