Sector developments and company hires

Special situations strategy launched
Bardin Hill Investment Partners has announced the final close of the Bardin Hill Opportunistic Credit Fund and a parallel side-car vehicle, with total commitments of approximately US$600m. The firm’s flagship closed-end strategy received backing from new institutional investors globally, as well as from existing Bardin Hill clients.

The strategy identifies and executes on stressed, distressed, process-driven and special situations investments less correlated to global debt and equity markets, with a focus on control-oriented opportunities in smaller and medium-sized capital structures. The fund is designed to leverage Bardin Hill’s experience investing across multiple market cycles and niche credit strategies to maximise returns for investors while mitigating downside risk.

In other news…

ABSF proposals requested
The AOFM has invited market participants to submit proposals to be considered for investment by the Australian Business Securitisation Fund (ABSF) by 31 March. The AOFM expects to announce its decision for this round of ABSF investments late in 2Q21. Decision timing will be a function of the number and complexity of proposals received.

EMEA
Reed Smith has hired Jason Richardson as partner in its financial industry group, based in the London office. Richardson joins Reed Smith from Sidley Austin, where he was a partner. Richardson acts for both lenders and sponsors on commercial mortgage lending transactions, as well as for arrangers, investors, servicers and rating agencies in relation to various types of securitisation transactions, including CMBS, synthetic securitisations and NPL portfolio transactions.

North America
John McElravey has joined the Boston Fed as a markets specialist within the credit risk management unit of the bank’s supervision, regulation and credit department. He was previously md, structured products research at Wells Fargo, having joined the bank in 2007. Before that, McElravey worked in ABS trading, research and ratings at AAM, Banc One and Duff & Phelps, and was an economist at the Chicago Fed and Cleveland Fed.

TALF investment manager sought
The New York Fed has launched a prequalification process for cash investment management services for its TALF programme, as part of a multiphase competitive procurement process commenced in October 2020. When the Federal Reserve launched a number of emergency liquidity facilities in 2020, some vendor roles were filled through direct negotiations with service providers to expedite programme implementation. The New York Fed did so with a view that once the immediate need to commence operations of the facilities had passed, those roles - as well as any new roles that were identified for the ongoing operations of the facilities - would be reviewed and potentially be subject to a competitive procurement process.

Consequently, it is seeking to select firms to participate in a potential request for proposals for the newly identified role of cash investment manager for the TALF for the duration of the facility’s life. The TALF’s authorisation ceased on 31 December 2020, but maintains a cash investment management account to hold all fees, earnings from TALF loan interest and additional investments.

The prequalification form should be submitted by 23 February 2021.