AllianceBernstein Closes Third Transaction for CLO Management Business

Rhea-AI Summary

AllianceBernstein (AB) has successfully closed its third collateralized loan obligation (CLO), AB BSL CLO 3, valued at $500 million, with Citigroup as the lead arranger. This deal highlights AB's expanding CLO management business initiated in 2019 under the leadership of Scott Macklin. The firm's CLO platform has issued 12 transactions since 2016, accumulating a total of $4.3 billion in financing. AB aims to further strengthen its investor relationships and CLO operations, supported by investment from Equitable Financial Life Insurance Company.

Positive

• Closing of AB BSL CLO 3 valued at $500 million enhances AB's CLO management capabilities.
• Established partnership with Equitable Financial Life Insurance Company strengthens funding sources.
• AB's CLO management platform continues to grow, indicating strong investor confidence.

Negative

• None.

NASHVILLE, Tenn., Oct. 12, 2021 /PRNewswire/ -- AllianceBernstein L.P. ("AB") (NYSE: AB), a leading global investment manager, today announced the closing of AB BSL CLO 3, a $500 million collateralized loan obligation (CLO) with Citigroup acting as lead arranger.

This marks the third CLO for the firm's broadly syndicated loan and CLO management business established in 2019 and led by AB's Director of Leveraged Loans Scott Macklin. The business is initially funded with investments from Equitable Financial Life Insurance Company.

"AB's CLO management platform continues to grow thanks to our strong partnership with Equitable and our ability to develop and deepen investor relationships," said AB's Co-Head of Fixed Income and Director of Credit Gershon Distenfeld. "As we continue to strengthen and enhance our CLO business, we look forward to working with our capital partners."

The firm's middle market direct lending platform, AB Private Credit Investors, has issued 12 CLO transactions since 2016 totaling $4.3 billion.

About AllianceBernstein

AllianceBernstein is a leading global investment management firm that offers high-quality research and diversified investment services to institutional investors, individuals and private wealth clients in major world markets. 

As of June 30, 2021, including both the general partnership and limited partnership interests in AllianceBernstein, AllianceBernstein Holding owned approximately 36.3% of AllianceBernstein and Equitable Holdings, Inc. ("EQH"), directly and through various subsidiaries, owned an approximate 64.4% economic interest in AllianceBernstein.

Additional information about AB may be found on our website, www.alliancebernstein.com.

View original content:https://www.prnewswire.com/news-releases/alliancebernstein-closes-third-transaction-for-clo-management-business-301397847.html

SOURCE AllianceBernstein

FAQ

What is the significance of the $500 million CLO closed by AllianceBernstein on October 12, 2021?

The closing of the $500 million CLO, AB BSL CLO 3, signifies continued growth in AllianceBernstein's CLO management business.

Who was involved in arranging the AB BSL CLO 3 transaction?

Citigroup acted as the lead arranger for the AB BSL CLO 3 transaction.

How many CLO transactions has AllianceBernstein completed since 2016?

AllianceBernstein has completed a total of 12 CLO transactions since 2016.

What is the total value of CLO transactions issued by AllianceBernstein?

CLO transactions issued by AllianceBernstein total approximately $4.3 billion since 2016.

Who leads AllianceBernstein's CLO management business?

Scott Macklin serves as the Director of Leveraged Loans and leads AllianceBernstein's CLO management business.