KBRA Assigns an A+ Rating to BNP Paribas' Participation in a Capital Call Facility to HPS Specialty Loan Fund VI - Unlevered
3 Oct 2024 | London
KBRA UK (KBRA) assigns an A+ rating to BNP Paribas' participation in a capital call facility in the form of a committed and secured revolving loan facility (the “Facility”) to partnerships comprising HPS Specialty Loan Fund VI SCSp and HPS Specialty Loan International Fund VI SCSp (together the “HPS SLF VI Fund” or the “Fund”) provided by a consortium of lenders including BNP Paribas (“BNPP” or the “Lender”). The Outlook is Stable. The Facility is provided by a consortium of lenders including BNP Paribas. The rating was requested by BNP Paribas as a participating lender in the transaction. Neither HPS nor any of its associates has requested this report or the rating, and this report has not been prepared for or approved by any of them. BNP Paribas had committed $150 million to the $1,202 million Facility.
The Facility is a multi-currency, senior secured revolving subscription facility that can be used by way of short term loans or letters of credit. The Facility maturity date is April 2025, with two one-year extension options with prior consent from the Agent and Lenders. The Lenders have a first priority security interest in the uncalled capital commitments of the Fund, including the right to make capital calls under the Fund’s governing documents during an uncured Event of Default. Availability under the Facility is determined by the applicable advance rate applied to the Uncalled Capital Commitments of LPs based on their classification.
HPS Specialty Loan Fund VI (“Fund VI” or “HPS SLF VI”) is a direct lending strategy of HPS. Fund VI has, as of its final closing, closed on approximately $10.4 billion of LP commitments. The Fund is the unlevered partnership of Fund VI, with a levered partnership which invests in parallel with this unlevered partnership. As of the final closing, the HPS SLF VI Fund has raised a total of $4.68 billion commitments. The Fund will seek to invest in a portfolio of private debt direct lending investments, targeting mainly portfolio companies in the upper middle market and with a focus on non-sponsor backed transactions.
HPS, established in 2007, has approximately $148 billion of assets under management, with approximately $25 billion in liquid credit and $123 billion in private credit (as of June 2024, but reflects certain assets added in August 2024). Headquartered in New York, HPS has 245 investment professionals and over 750 employees globally with 14 additional offices worldwide as of August 2024.
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