
In the world of investment banking, one of the most respected and powerful players is Oaktree Capital. The Los Angeles-based firm has been a major player in the financial markets for decades, managing investments from household names like Microsoft, Walmart, and Sony. Now, Oaktree is setting its sights on leveraged buyouts with a $10 billion fund that will make it easier for companies to finance acquisitions. In this article, we’ll explore what this big move by Oaktree could mean for the future of leveraged buyouts and how other firms may have to adjust their strategies.
Who is Oaktree Capital?
Oaktree Capital is one of the world’s largest and most experienced alternative investment managers. The firm offers a wide range of services, including asset management, credit strategies, distressed investing, direct lending, mezzanine financing, real estate investing, and equity investing.
Founded in 1995 by Howard Marks, Bruce Karsh, and S. Jay Cohen, Oaktree has grown to become a leading global alternative investment manager with over 1,200 employees and offices in 17 cities around the world. The firm has assets under management of over $120 billion as of June 30, 2018.
Oaktree specializes in investments across a broad range of industries and asset classes. The firm’s deep knowledge and extensive experience allow it to generate strong risk-adjusted returns for its clients.
The firm is headquartered in Los Angeles, with additional offices in New York City; Greenwich, CT; Houston; Dallas; London; Frankfurt; Tokyo; Hong Kong; Singapore; Beijing; Shanghai; Seoul; Mumbai; Dubai; and Sao Paulo.
What is the fund for?
The fund is targeting leveraged buyouts, which are a type of investment transaction in which a company is acquired using debt financing. The use of leverage (borrowed funds) amplifies the returns to the equity investors; however, it also increases the risk.
Oaktree Capital Management, L.P. (“Oaktree”) is an American global asset management firm specializing in alternative investment strategies. It was founded in 1995 by Howard Marks, Bruce Karsh, and Glenn Dubin with $90 million of capital. As of December 31, 2019, Oaktree had $149 billion of assets under management.
How will the money be used?
Oaktree Capital has launched a new $8 billion fund that it plans to use for leveraged buyouts. This is a significant increase from the $4 billion fund that the company raised in 2016.
The new fund will be focused on investing in companies that have high levels of debt. Oaktree Capital believes that these companies are often undervalued and have the potential to generate significant returns for investors.
The firm has already made a number of investments with its new fund, including the acquisition of a majority stake in Oxford Metrics, a provider of 3D measurement technologies. Oaktree Capital plans to use its new fund to continue making such investments in order to generate strong returns for its investors.
What are some of the benefits of this fund?
Some of the benefits of this fund include:
1) Oaktree Capital has a strong track record of successful investments in leveraged buyouts, including high-profile deals such as Hostess Brands and Toys “R” Us.
2) The new fund is one of the largest ever raised for this type of investment strategy, giving Oaktree ample firepower to pursue large and complex transactions.
3) Oaktree’s deep understanding of the leveraged buyout market, along with its disciplined approach to investing, should enable the firm to generate strong returns for investors.
How to get involved with the fund
If you’re interested in getting involved with Oaktree Capital’s new $ billion fund, there are a few things you need to know. First, the fund is targeting leveraged buyouts, so you’ll need to have experience and knowledge in that area. Second, the minimum investment is $10 million, so you’ll need to be able to commit that amount of capital. And finally, the fund is only open to accredited investors, so you’ll need to meet certain criteria set forth by the SEC.
If you think you meet all the qualifications and are interested in learning more, please contact us at [email protected] for further information.
Conclusion
Oaktree Capital’s recently launched $10 billion fund is proof that the firm continues to set its sights high. Leveraged buyouts are a great way for companies to take advantage of opportunistic investments, and Oaktree Capital has positioned itself as an expert in this area. With this new fund, they will be able to leverage their knowledge and experience even further, helping them deliver strong returns for all of their clients. This move is sure to pay off in the long run, and we look forward to seeing what else Oaktree Capital does with the new capital available at their disposal.