Kennedy Lewis mulls sale of business
Alternative credit manager Kennedy Lewis is exploring a sale along with other strategic options, according to news reports.
Bloomberg has reported that Kennedy Lewis is working with an adviser to solicit interest from possible buyers. The firm holds assets under management of approximately $14bn (£11.27bn), and is believed to be valued at more than $800m in an outright transaction.
Earlier this month, the asset manager launched its third opportunistic credit fund with $4.1bn, after setting an initial target of $3bn. It invests in scalable businesses in sectors including life sciences, power, media, and homebuilder finance.
The New York-based firm was founded by David Chene and Darren Richman in 2017, and is led by Chene, Richman and co-managing partner Doug Logigian.
Kennedy Lewis manages capital through various funds, a business development company and a collateralized loan obligations business known as Generate Advisors, which was formed through a partnership with York Capital Management.
The private credit space has seen a lot of interest from major investment houses in recent months. A new report from the Alternative Credit Council found that private credit managers deployed an estimated $333bn during 2022 – a significant increase from the estimated $200bn that was deployed in 2021.
Meanwhile, a senior executive at Apollo Global Management has estimated that the private credit market could be worth up to $40trn.
Pitchbook calculated that the global private credit sector was worth $1.75trn by the end of 2022.
Read more: Investment giants deepen their influence in the private debt space