Tikehau Capital is to manage the investments of Lyxor’s European senior debt funds in a deal which expands Tikehau’s leveraged loans and CLO business from EUR1.9 billion in assets under management to EUR2.6 billion, raising its total AUM to EUR9.8 billion.
Under the terms of the deal, Tikehau Investment Management, the asset management arm of Tikehau Capital, will replace Lyxor UK as investment manager of Lyxor’s four European senior debt funds, with a total of EUR700 million in AUM.
Under this agreement, Lyxor UK’s European senior debt operational team will join Tikehau IM in London. Lyxor will remain the management company of these funds and will continue to provide second-level supervision of risks and valuation.
Mathieu Chabran (pictured), co-founder of Tikehau Capital and managing director of Tikehau IM, says: “We are delighted to have signed this agreement with Lyxor, which allows us to expand in the United Kingdom and to continue developing our expertise in leveraged loans and European credit markets. We are pleased to welcome Lyxor UK’s European senior debt team to Tikehau Capital and are confident this transaction will allow us to expand this business in an especially supportive low-interest-rate environment.”
Lionel Paquin, CEO of Lyxor, says: “This agreement plays to Lyxor’s well-recognised strengths for working in partnership with external asset managers, a field in which we have a nearly 20-year track-record. By remaining the management company of the funds, Lyxor continues to accompany its clients. We are confident that Tikehau Capital, thanks to its well-regarded expertise in European debt markets, will greatly contribute to the quality and future development of this activity. Furthermore, fixed income investments, which benefit from our deeply-rooted innovation and risk management culture, remain an important focus for Lyxor.”
