Gottex Fund Management, an independent global alternative asset management group, has announced the acquisition of a controlling interest in SJC Capital Partners, the US-based investmen
Gottex Fund Management, an independent global alternative asset management group, has announced the acquisition of a controlling interest in SJC Capital Partners, the US-based investment management firm.
The company has also launched the first of a number of new direct lending products. Stephen J. Czech, founder and chief investment officer of SJC, and his team will join Gottex’s New York operations with immediate effect.
SJC focuses on generating superior risk-adjusted returns by making secured loans to US and European middle market companies, a market segment that has become affected by the retreat of conventional financing sources such as commercial banks.
Gottex says direct lending currently is, and is expected to continue to be, a very attractive investment space in the years to come as traditional financing sources for the middle market continue to contract or exit this market segment.
SJC launched in September 2008. Its strategy differs from traditional direct lenders by analyzing both assetbased and cash flow/enterprise values while employing time-tested, stringent underwriting criteria for investing in both first and second lien secured loans.
Joachim Gottschalk, chairman and chief executive of Gottex (pictured), says: ‘We are very pleased to welcome Steve and the rest of the SJC team to Gottex. They are a strong fit with the Gottex model with an excellent track record in the direct lending market. We look forward to working with them to strengthen our asset based product range and to capitalize on the opportunities in the secured direct lending space.’
Czech adds: ‘We are very pleased to be joining Gottex and its Asset Based business. Notwithstanding the current challenging climate, we believe direct lending to middle market companies is a very attractive business and will continue to offer great opportunities for meaningful risk-adjusted and uncorrelated returns in the years ahead as existing financing sources contract. The intellectual capital of the combined Gottex/SJC team coupled with the institutional grade platform and global footprint of Gottex should result in a very attractive global lending business.’
