The company today announced that it has formed a joint venture with another private credit asset manager. The joint venture will be an off-balance sheet private fund that will invest primarily in first out senior secured debt opportunities in the lower middle market.
The joint venture will be owned equally by Capital Southwest and its joint venture partner, with each holding a 50% equity interest. All investment and operational decisions for the fund will be made by the joint venture’s board of managers, which will consist of equal representation from both joint venture partners. It is anticipated that the joint venture will enter into a senior secured credit facility, the borrowings from which will be used to fund investments.
