LONDON, May 14 (Reuters) - The asset management arm of private equity firm CVC Group plans to raise 300 million euros ($389 million) from investors by floating one of its credit funds.
Asset manager CVC Credit Partners said in a statement on Tuesday it is to list CVC Credit Partners European Opportunities Limited, which invests in sub-investment grade debt markets, on the London Stock Exchange.
A pullback by historic lenders such as banks from the loan market, combined with company refinancing needs, had created significant opportunities for credit managers to trade loans, the fund’s chairman Richard Boleat said in the statement.
CVC Credit Partners was formed when CVC Cordatus Group and Apidos Capital Management combined last year. It has $8.5 billion in assets under management and its funds invest in sub-investment grade credit instruments including loans, bonds, subordinated debt and structured credit.
CVC is among several private equity houses including U.S. firms Blackstone and Kohlberg Kravis Roberts trying to diversify their business away from traditional buyouts by building asset management arms. ($1 = 0.7703 euros)