BOSTON, MA; PALO ALTO, CA; LONDON, UK; MUMBAI, INDIA—Summit Partners announced today that it has raised a $520 million credit fund to address the borrowing needs of growing middle-market companies. This brings Summit’s total equity and credit capital base to nearly $15 billion. The fund will be run in Boston by Managing Directors Todd Hearle and Jamie Freeland who joined Summit in 2010.
Surpassing its initial target of $300 million, Summit Partners Credit Fund will target credit investments in profitable companies with proven business models, a record of stable growth, and the leadership capable of sustaining that growth. Often, these companies are looking for a partner that can provide the capital necessary to complete an acquisition, buy out a partner, or finance an objective specific to achieving the goals of the company.
Credit investing has been an active component of Summit Partners’ investment platform since 1994, when it raised its first subordinated debt fund. Summit has since raised three more subordinated debt funds and has funded more than 70 credit investments, including subordinated debt investments in conjunction with its equity investments and stand-alone credit investments. In total, Summit has raised $2.3 billion in combined credit assets.
Tom Roberts, Managing Director at Summit Partners, said, “All of us at Summit appreciate the support we’ve received from new and existing limited partners in our Credit Fund.” Investors participating in the fund include public and private pension plans, insurance companies, funds of funds, family offices, endowments and foundations.
Summit Partners’ Todd Hearle said, “We are pleased with the collective strength of our limited partners and our flexibility to serve middle market borrowers with tailored capital solutions and high certainty to close.”
“Every year, we speak with thousands of companies around the globe about their growth strategies,” added Roberts. “The Credit Fund leverages this proprietary outreach model and allows us to provide customized, innovative capital solutions to a wider range of businesses.”
Summit’s dedicated team of Credit investment professionals will focus on growing companies across many industries, including technology, healthcare & life sciences, financial technology & services, consumer and industrial. The team has extensive experience in leveraged finance and private loan origination, and brings experience in both public and private markets.
Since 1984, Summit Partners has raised a total of 17 equity and credit funds with combined assets of nearly $15 billion.
About Summit Partners
Summit Partners (www.summitpartners.com) invests in rapidly growing companies. Founded in 1984, Summit has raised nearly $15 billion in capital and has offices in Boston, Palo Alto, London and Mumbai. The firm seeks outstanding management teams that have built their companies to market leadership, and it provides equity and credit capital for growth, recapitalizations and management buyouts. Summit has invested in more than 350 growing businesses across North America, Europe and Asia. These companies have completed more than 125 public offerings and in excess of 130 strategic sales or mergers.
In the United States of America, Summit Partners operates as an SEC-registered investment advisor. In the United Kingdom, this document is issued by Summit Partners Limited, a firm authorized and regulated by the Financial Services Authority. Summit Partners Limited is a limited company registered in England and Wales with company number 4141197, and its registered office is at 20–22 Bedford Row, London, WC1R 4JS, UK. This document is intended solely to provide information regarding Summit Partners’ potential financing capabilities for prospective portfolio companies.