By Megan Davies
NEW YORK, Jan 14 (Reuters) - Private equity giant TPG Capital's special situations investing team is registering as a business development company, it said in a filing on Friday, taking advantage of a gap in the market in providing capital to mid-market companies.
TPG Specialty Lending invests in loans to middle-market companies and also makes equity investments in companies, according to the filing.
Filing to be a business development company can bring the advantage of public liquidity and can also have tax advantages.
The Specialty Lending team is led by Co-Chief Investment Officers Alan Waxman and Joshua Easterly.
TPG said in a letter to investors last year that it hired Waxman, formerly a partner at Goldman Sachs specializing in distressed and asset-backed distressed markets, in order to build a debt investment team.
Waxman was the co-founder of the Goldman Sachs Specialty Lending Group and Easterly was the former co-head of the same group at Goldman.
Rival private equity firm Apollo Global Management also has a BDC, Apollo Investment Corp, which provides subordinated debt and equity capital to middle-market companies.
A number of private equity firms have either gone public or are making plans to list themselves. However, a source close to TPG said the firm itself has no plans to go public.
Blackstone Group went public in 2007, Kohlberg Kravis Roberts & Co became publicly-traded in 2009 and Apollo is on the way to becoming listed. Carlyle is also considering going public, a source previously told Reuters.
TPG is one of the world's largest private equity firms with assets under management of more than $48 billion.
(Editing by Bernard Orr)
((megan.davies@thomsonreuters.com ; +1 646 223 6112; Reuters Messaging: megan.davies.thomsonreuters.com@reuters.net)) Keywords: TPGCAPITAL (For more M&A news and our DealZone blog, go to http://www.reuters.com/deals) COPYRIGHT Copyright Thomson Reuters 2011. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
NEW YORK, Jan 14 (Reuters) - Private equity giant TPG Capital's special situations investing team is registering as a business development company, it said in a filing on Friday, taking advantage of a gap in the market in providing capital to mid-market companies.
TPG Specialty Lending invests in loans to middle-market companies and also makes equity investments in companies, according to the filing.
Filing to be a business development company can bring the advantage of public liquidity and can also have tax advantages.
The Specialty Lending team is led by Co-Chief Investment Officers Alan Waxman and Joshua Easterly.
TPG said in a letter to investors last year that it hired Waxman, formerly a partner at Goldman Sachs specializing in distressed and asset-backed distressed markets, in order to build a debt investment team.
Waxman was the co-founder of the Goldman Sachs Specialty Lending Group and Easterly was the former co-head of the same group at Goldman.
Rival private equity firm Apollo Global Management also has a BDC, Apollo Investment Corp, which provides subordinated debt and equity capital to middle-market companies.
A number of private equity firms have either gone public or are making plans to list themselves. However, a source close to TPG said the firm itself has no plans to go public.
Blackstone Group went public in 2007, Kohlberg Kravis Roberts & Co became publicly-traded in 2009 and Apollo is on the way to becoming listed. Carlyle is also considering going public, a source previously told Reuters.
TPG is one of the world's largest private equity firms with assets under management of more than $48 billion.
(Editing by Bernard Orr)
((megan.davies@thomsonreuters.com ; +1 646 223 6112; Reuters Messaging: megan.davies.thomsonreuters.com@reuters.net)) Keywords: TPGCAPITAL (For more M&A news and our DealZone blog, go to http://www.reuters.com/deals) COPYRIGHT Copyright Thomson Reuters 2011. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.