Saturday, April 20, 2024

King Street raises $2.3bn for second drawdown fund

Photo by Michael Discenza on Unsplash

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King Street Capital Management, the $24bn US credit manager, has closed its second drawdown fund at $2.3bn, exceeding its target as interest rises in credit strategies.

Global Drawdown II targets opportunities across distressed and stressed corporate debt, structured products, asset-backed credit and claims.

“The interest in GDF II underscores our distressed expertise and more than 28 years of investing experience in complex and misunderstood situations,” said Brian Higgins, co-founder and managing partner of King Street.

“We believe the headwinds facing the global economy are giving rise to a new credit regime with a compelling, robust and actionable opportunity set,” said Daniel Ehrmann, partner and head of restructuring.

“GDF II’s flexible mandate is well positioned to capitalize on the compelling opportunity set arising from distressed and dislocated credit globally.”

GDF I completed its investment period this summer and is fully invested after closing in July 2021 with $1.2bn in total commitments.