PCF Insurance Services has closed $400 million in incremental debt financing led by Blue Owl, a global alternative asset manager that acted as lead arranger and admin agent.
According to PCF, the financing was upsized from $300 million to $400 million in response to strong lender demand from new and existing lenders.
Felix Morgan, Chief Financial Officer and Chief Operating Officer for PCF Insurance, commented, “The oversubscription in the financing and upsize in deal speaks to the strength of PCF and the confidence that our investors have in our bright future and ability to deliver on our long-term, strategic growth objectives.
“We will use the financing proceeds to further fund the expansion of our Office Partner network, as we look to accelerate the execution of our M&A strategy with the support of our great partner investors.”
PCF asserted that the deal included incremental term debt to fund near term acquisitions and a delayed draw term loan to support M&A.
“The financing is pari passu with the existing senior facilities and will mature concurrently with existing facilities. PCF Insurance last accessed the capital markets in February 2023 when we secured a $500 million preferred equity investment co-led by Carlyle’s Global Credit platform and private equity firm HGGC,” the firm explained.
Blue Owl and Crescent Capital, both of which have existing minority equity stakes in the business, also participated in the preferred equity transaction.
Lukas Spiss, Managing Director at Blue Owl Capital, said, “We are pleased to continue serving as a capital provider to PCF and deliver the financing solutions needed for the company to execute on its growth strategy.
“Coupled with the backing of a stellar management team, we remain confident in PCF’s ability to achieve its long-term strategic objectives.”
