Allied Capital and GE Commercial Finance form $3.6 billion unitranche loan fund

By Sara Rosenberg

New York, Dec. 20 - Allied Capital and GE Commercial Finance have partnered to form a $3.6 billion senior secured unitranche loan fund called Unitranche Fund LLC, according to a news release.

A unitranche loan blends senior and junior debt pricing and terms into a single first-lien debt facility.

Financing commitments of up to $500 million will be available for borrowers across various industry sectors, including health care, media, energy, aerospace, business services and transportation.

The fund will retain all or a majority of each credit facility.

And, borrowers will benefit from simplified documentation through a single credit agreement, greater certainty of execution and reduced decision-making complexity throughout the life of the loan.

"This new fund will deliver value for our friends in the private equity community," said Stuart Aronson, president of GE Global Sponsor Finance, in the release.

"This partnership between Allied Capital and GE Commercial Finance, a leading senior debt provider in our market, brings together the unique expertise and financing capabilities of both firms to meet the increasingly challenging financing needs of companies and sponsors with greater certainty of execution," added Bill Walton, chairman and chief executive officer of Allied Capital, in the release.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.