MetLife Investment Management (MIM), the institutional asset management business of MetLife, originated $15.6 billion in private placement debt and private structured credit across 247 transactions in 2021. This included $3.0 billion of investments originated on behalf of unaffiliated institutional clients. MIM’s total private placement assets under management stood at $103.7 billion as of December 31, 2021.1
MIM’s private placement origination for 2021 included $8.4 billion, $5.1 billion, and $2.1 billion in corporate, infrastructure, and structured credit transactions, respectively, and added 104 new credits to the portfolio.
Corporate origination in 2021 extended across a broad range of industries and was led by investment in financials, REITs, transportation and sports finance.
Jennifer Potenta, Head of Corporate Private Placements at MIM, noted: “The deep industry knowledge, structuring expertise and relationships maintained by our group’s sector-specific credit analysts helped facilitate strong origination volume in end markets where we saw attractive value.”
Corporate origination highlights included $2.8 billion in financing for U.K. and European issuers, over $650 million of investment into the Healthcare and Lifesciences sector – featuring a directly-placed, multi-currency loan totaling nearly $250 million – and in excess of $600 million in credit tenant lease transactions across 10 offerings.
John Tanyeri, Head of Infrastructure/Project Finance at MIM, noted: “Infrastructure origination rebounded strongly in 2021 as pandemic concerns continued to ease and project sponsors refocused on new deal activity.”
Infrastructure origination was led by $1.0 billion of investment in transportation-related projects and assets. Additionally, origination associated with U.K. and European issuers was particularly strong, representing $1.7 billion, or one-third, of total investment. Lastly, investment in energy savings contracts, renewable power, and social housing and infrastructure-related projects accounted for approximately $1.9 billion of origination, further supporting MIM’s sustainability focus.
Private structured credit continued to find attractive opportunities throughout 2021 by focusing on investments not commonly found in public markets, such as alternative asset financing and transactions backed by low-income housing.
“Given global economic growth, we expect the capital markets to remain active,” said Nancy Mueller Handal, head of Private Fixed Income & Alternatives at MIM. “Our team continues to be well-positioned to source, structure, and execute on financing opportunities in support of our issuers and clients.”