Reuters reports Angelo Gordon has set up a middle-market direct lending business with the appointment of Chris Williams and Trevor Clark. Williams and Clark co-founded and built the direct lending business at Madison Capital Funding.

Williams and Clark will both be managing directors, an Angelo Gordon spokesman told Reuters. The new team expects to launch the business in the first quarter of 2015 and will focus on loans to companies with EBITDA between $3 million and $50 million.

Prior to forming Madison Capital, Clark held various positions in loan underwriting and origination at Antares Capital, GE Capital, and Bank of America. Williams, before co-founding Madison Capital, held various positions in loan underwriting and origination at Cochran, Caronia & Co., GE Capital, and Bank of America.

Angelo Gordon was founded in November 1988 and has approximately 300 employees and is headquartered in New York, with associated offices elsewhere in the U.S., Europe and Asia.