Pan-European fund manager in credit and real estate Arrow Global Group has raised around €2.75 bn for its second credit fund, Arrow Credit Opportunities II (ACO II).
This includes a general partner commitment of €275 mln.
Arrow Global significantly surpassed its €2.5 bn fundraising goal thanks to fresh commitments from global institutional investor from the U.S., Europe, Asia-Pacific, and Middle East in addition to almost universal reinvestment from ACO I investors.
Zach Lewy, CEO and CIO of Arrow Global, said: ‘We are delighted to have met and beaten our fundraising target. The continued partnership with existing investors, coupled with the support of select new investors, demonstrates their confidence in the Fund’s investment strategy and expertise in our defined sectors. The Arrow team views its relationship with the investors in our Fund as a partnership, and we are grateful for their support in enabling us to complete the fundraise in under eight months. Not only did we grow in every geographical region, but we also grew commitments in every investor category from sovereign wealth to pensions, insurance companies, foundations, and family offices.’
Charlotte Gilbert, managing director, client and product solutions at Arrow Global, added: ‘Having 18 local specialist platforms in our five chosen European geographies and €79 billion AuM gives us an unapparelled opportunity to see and invest into the most interesting opportunities. We have a robust pipeline of investment opportunities, and our investment team is well placed to capitalise on a growing investor landscape. We are proud to be a team that stays close to our investments and brings real quality to our portfolio.’
London-based Arrow focuses on asset quality and proprietary off-market opportunities, avoiding public auctions where prices are often higher.
Significantly, 90% of the ACO II portfolio is backed by property, cash in court, or other mixed securities.
The Fund's portfolio manager is AGG Capital Management Limited, a fully owned subsidiary of Arrow Global with legal status in Jersey.