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Värde Commits $1.3B in Asset-Based Private Credit Transactions in 2023

Date: Feb 14, 2024 @ 08:00 AM
Filed Under: Industry News

Värde Partners, a global alternative investment firm specializing in credit and credit-related assets, announced that it committed $1.3 billion across its asset-based lending and diversified private credit platform in 2023. These investments facilitated approximately $9 billion of commercial and consumer loans in North America and Europe.

“Market dislocation, exacerbated by bank regulation and liquidity challenges, presents a significant opportunity for Värde to step in as a strategic partner, originating financing for underserved borrowers and providing liquidity solutions,” said Aneek Mamik, New York-based Partner at Värde. “We believe Värde’s expertise across the many facets of lending, from owning financial services platforms to loan servicing, is a competitive edge as we source and provide exposure to attractive, downside-protected investments on behalf of our investors.”

For more than 30 years, Värde has served as a premier credit and liquidity provider, investing across capital structures, industries, and market cycles. In recent years, Värde has expanded its origination team and capabilities to meet the growing financing and liquidity needs. Värde’s approach is informed by deep sector expertise and a global relative value perspective.

The firm’s priority themes in 2024 include:

  • Commercial Finance: Loans and leases to small and midsize businesses, including business-essential equipment finance, receivables finance, inventory finance, and SME financing across industries such as technology, industrial, manufacturing, and specialty vehicles.
  • Consumer Finance: Senior secured loans for prime and near-prime borrowers backed by financial assets, such as home equity, auto, and other titled vehicles.
  • Diversified Private Credit: Lending against or investing in assets or contractual cash flows that are often less correlated to other financial assets, including fund finance and homebuilder finance.

“The widening capital supply/demand gap is driving increased lending opportunities across nearly all markets and sectors, particularly opportunities to partner with non-bank lenders as they look to the private markets to support their lending to the real economy,” said Barbara Richter, London-based Managing Director. “Importantly, the breadth of our platform allows us to be selective.”

“We are pleased to have successfully tailored solutions for many high-quality borrowers last year,” added Monty Cook, New York-based Senior Managing Director. “Our expertise in providing capital to support asset growth across a wide array of asset classes has positioned Värde as a preferred lender, and we look forward to working with new and familiar partners in 2024.”

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