Societe Generale and Brookfield Asset Management Partner to Launch EUR 10 Billion Private Investment Grade Debt Fund

Societe Generale and Brookfield Asset Management Partner to Launch EUR 10 Billion Private Investment Grade Debt Fund

(IN BRIEF) Societe Generale and Brookfield Asset Management have announced a strategic partnership to create a private investment grade debt fund, with an initial target of EUR 10 billion in assets over the next four years, including EUR 2.5 billion of seed funding. This fully integrated vehicle will offer tailored investment grade financing options for issuers and provide investors with high-quality real asset credit opportunities. It aims to address the needs of insurance companies by offering products customized to their ratings and duration requirements. The partnership leverages the strengths and deep relationships of both companies, aiming to significantly expand their presence in global economic financing by providing large-scale commitments with unique forms of capital.

(PRESS RELEASE) PARIS, 12-Sep-2023 — /EuropaWire/ — Societe Generale and Brookfield Asset Management announced a strategic partnership to originate and distribute high-quality private credit investments through a private investment grade debt fund. The initial fund is targeting a total of EUR 10 billion over the next four years and will launch with EUR 2.5 billion of seed funding at inception.

The fully integrated vehicle with origination and distribution capabilities, will provide issuers with tailored investment grade financing options and investors with differentiated high-quality investment opportunities. In particular, the fund is expected to meet the needs of insurance companies with investment-grade products tailored to meet their ratings and duration requirements.

Founded on a strong and long-standing relationship between Societe Generale and Brookfield, the partnership will leverage both companies’ origination capabilities, deep operating expertise, and real asset knowledge, as well as strong institutional relationships to bring additional value to their respective clients and shareholders. It will also allow Societe Generale and Brookfield to significantly increase their footprint in financing the global economy over time by providing large scale commitments with differentiated forms of capital.

Slawomir Krupa, CEO of Societe Generale, said: “We are delighted by this partnership, which provides an entirely new answer to the growing demand for private debt and will have a positive impact on the real economy while simultaneously scaling up Societe Generale’s origination and distribution capabilities. This pioneering approach represents a unique alignment of interests between two leading players in their respective fields.”

Bruce Flatt, CEO of Brookfield, commented: “We’re excited to bring our own capital and our institutional client capital to unlock a tremendous opportunity within the investment grade market to support critical industries that underpin the global economy. We look forward to being a partner of choice for borrowers looking for bespoke scale capital and to institutions seeking exposure to investment grade private credit.”

The seed fund will focus on two strategies: one for real assets credit across the power, renewables, data, midstream and transportation sectors, and another one for fund finance. The partnership is expected to develop over time across strategies and investment structures, leveraging Societe Generale’s and Brookfield’s wide origination capabilities and deep relationships with institutional investors as well as insurance and credit syndication clients.

Media Contacts: 

Societe Generale:
Jean-Baptiste Froville
+33 1 58 98 68 00
jean-baptiste.froville@socgen.com

Sophie Dobrzensky
+33 1 57 29 19 11
sophie.dobrzensky@socgen.com

Brookfield:
Kerrie McHugh Hayes
+1 (212) 618-3469
kerrie.mchugh@brookfield.com

SOURCE: Societe Generale