Private-equity firm Carlyle Group, which is planning an initial public offer in 2012, has purchased Churchill Financial, a debt capital provider to middle-market companies, from Olympus Partners. Terms of the transaction were not revealed. Carlyle is growing its lending operations in the process with 13 investment professionals from Churchill joining Carlyle’s global market strategies operations as part of the deal.
This team will continue running a $1.25 billion AUM collateralized loan obligation (CLO) focused on senior loans to middle-market firms. Ownership of the CLO’s equity is being retained by Churchill Financial Group which is a portfolio firm of Olympus Partners. Simpson Thacher & Bartlett acted for Carlyle in the transaction whereas Churchill was represented by Orrick, Herrington & Sutcliffe. Olympus Partners is a private equity firm which supplies equity financing for middle market MBOs and to companies requiring funds for expansion.
Click here for the release from Churchill Financial.