Arena's opportunistic credit fund exceeds target, follows strong performance of Fund I
NEW YORK, Aug. 1, 2022 /PRNewswire/ -- Arena Investors, LP ("Arena"), a global institutional asset manager specializing in opportunistic, asset and yield oriented investments, today announced the final close of Arena Special Opportunities Partners II, LP and Arena Special Opportunities Partners (Cayman) II, LP ("Fund," "Fund II"). The Fund is oversubscribed at approximately $930 million of committed capital, including separately managed accounts investing alongside the Fund. The close exceeds the $750 million target that was set for Fund II, which was launched on July 1, 2021.
Arena's latest Fund invests in asset-backed, credit-oriented investments that either were not the beneficiaries of the increased liquidity environment headed into 2022, or that are now in need of liquidity based on the more recent retrenchment of such liquidity, and the corresponding market volatility that has resulted.
"With an investment strategy grounded in over 25 years of experience investing globally across divergent economic downturns, we believe Arena is well-positioned to find value in all economic environments," said Dan Zwirn, Arena Investors Chief Executive Officer and Chief Investment Officer. "The COVID-19 pandemic caused newfound disruption to the global economy, and expedited trends we were already seeing five to ten years sooner than expected. While much has changed, Arena's flexible approach has allowed us to adjust quickly and continually identify attractive opportunities to deliver value to our investors. We are excited about the opportunities that lie ahead, regardless of potential market uncertainty."
Arena's opportunistic special-situations approach has enabled the firm to provide investors with access to diverse investments across market cycles, with Arena's Fund I (Arena Special Opportunities Partners I, LP and Arena Special Opportunities Partners (Cayman) I, LP) thus far achieving an estimated net MOIC of 1.44x from March 1, 2020 to June 30, 2022, with additional upside to the targeted returns coming in the form of embedded optionality, which Arena seeks to structure into its bespoke investments. In addition to several new investors, all investors in Fund I made commitments into Fund II.
Arena Investors, LP is an institutional asset manager founded in partnership with The Westaim Corporation (TSXV: WED). With nearly $4 billion of invested and committed assets under management as of August 1, 2022, and a team of over 100 employees in offices globally, Arena provides creative solutions for those seeking capital in special situations. The firm has individuals with decades of experience, a track record of comfort with complexity, the ability to deliver within time constraints, and the flexibility to engage in transactions that cannot be addressed by banks and other conventional financial institutions. See www.arenaco.com for more information.
All returns are calculated net of annual management fees of 2% and an incentive fee of 20%, which represent the standard fees charged to the Fund investors. The returns are inclusive of a 0.5% asset servicing expense. All returns are based on the reinvestment of principal, interest and dividends. The returns presented are as of June 30, 2022, with final returns through May 31. 2022 and estimates results for June 2022. Past performance is not indicative of future performance. Actual results may vary.
SOURCE Arena Investors