Ninepoint Partners LP, which has assumed portfolio management of the Canadian diversified assets of Sprott Asset Management LP, has announced the launch of the Sprott Canadian Senior Debt Fund, managed by Waygar Capital.

The fund, which compliments Ninepoint Partners’ current private credit offerings, including the Sprott Bridging Income Fund and the Sprott-TEC Private Credit Fund, will be sub-advised by Waygar Capital and managed by accomplished asset-based transaction specialist Wayne Ehgoetz and his team. Both Wayne and his team members have extensive experience providing asset-based credit facilities to diversified industries across Canada  and to companies in various stages of their life cycle.

Dedicated exclusively to originating, underwriting and managing high-yielding, senior-secured, first-lien asset-based loans to small and mid-market Canadian enterprises, the new fund may invest in such areas as:

• Canadian defense and security firms in need of short-term financing for expansion;

• Restructuring and turnaround transactions across all industries and sectors;

• Traditional asset-based lending in other sectors such as manufacturing and logistics.

“We’re excited to partner with the team at Waygar Capital,” says Ninepoint Partners LP Managing Partner and Senior Portfolio Manager John Wilson. “We believe there is significant opportunity to provide financing to the heavily underserved Canadian defense and security sector as well as a growing number of Canadian companies experiencing restructuring and turnarounds.”

By way of example, Canada is committed to spending billions over the next few decades on military and security, and with NATO members required to make significant contributions, the fund and its team can take advantage of this requirement to generate potential returns.

“As global security risks continue to rise, this fund is exclusively positioned to benefit from the more than 800 Canadian companies engaged in the defense and security space,” says Ehgoetz. “We are also well positioned to continue in our efforts of assisting more traditional small- and medium-sized companies with their expansion efforts through asset-based lending.”