LGPS Central picks PCP for final credit commitment
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Local government pension pool LGPS Central has made a seventh and final commitment worth €125m (£107m) to P Capital Partners Corporate Credit Fund V, bringing the LGPS Central’s Credit Partnership II to £1.1bn committed across seven managers.
PCP's "unique value proposition, bolstered by a successful track record” make it attractive to investors seeking diversification, stable returns and risk mitigation, said Mike Gillespie, LGPS Central’s investment director for private credit.
Stockholm-based PCP is an alternative lender that targets mature businesses with stable cash flows. It specialises in non-sponsored lending primarily in the Nordic region and also operates in the DACH region. The manager focussing on the lower to core middle market currently has €3.5bn assets under management across five funds.
According to LGPS Central, PCP actively manages its investments by undertaking detailed monitoring and, where appropriate, seeking board observer seats.
Last month, the asset pool announced its sixth investment in its Credit Partnership II fund, a $225m (£176m) commitment to Churchill Middle Market Senior Loan Fund – Luxembourg SCSp, SICAV-RAIF – Fund V. Churchill focusses on direct lending in the core US middle market to sponsor-backed companies, with origination supported by its relationships with private equity houses and other market players.
