Canal Road Group Secures $250 Million Credit Facility from Sumitomo Mitsui Banking Corp for Private Corporate Lending Strategy

Whats Happening:

Canal Road Group (CRG) has secured a new $250 million credit facility from Sumitomo Mitsui Banking Corporation (SMBC). This facility complements a similar $250 million facility secured from Wells Fargo in Fall 2024, bringing CRG's total investment capacity to $1.5 billion. The fund will use this financing to support its private corporate lending strategy, focusing on 1st Lien and unitranche corporate loans for companies with EBITDA of $50 million or more in North America.

Key Moves:

• CRG secures $250 million credit facility from SMBC

• Total investment capacity increased to $1.5 billion

• Focus on 1st Lien and unitranche corporate loans for companies with $50M+ EBITDA

By The Numbers:

• $250 million new credit facility from SMBC

• $250 million existing facility from Wells Fargo

• $1.5 billion total investment capacity

Key Quotes:

• "We appreciate the confidence and support from SMBC and look forward to growing what we expect will be a long and mutually beneficial relationship."

• "This facility provides additional capacity that allows CRG to continue its pursuit to deliver attractive, risk-adjusted returns for our investors."

Bottom Line:

Canal Road Group's new $250 million credit facility from SMBC significantly boosts its investment capacity to $1.5 billion. This expansion allows CRG to strengthen its position in the private corporate lending market, focusing on larger companies in North America. The move demonstrates the fund's growth strategy and its ability to attract substantial financial backing from major institutions.

Read Full Article