Parklise’s private credit partner is struggling to raise new money

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Barclays’s private credit partner has struggled to attract fresh investments nearly a year after announcing his association with the bank, and contemplates the coding of the deal to provide the British lender with a fiery force to compete in a 1.6 trillion market.

Agl Credit Management revealed its own credit platform last April, with a $ 1 billion anchor investment from the investment body of Abu Dhabi and an exclusive arrangement with Barclays. But since then she has struggled to withdraw other investors to her box.

With the exception of the commitment from ADIA, which has supported the New York -based AGL since its launch in 2019, the fund has attracted less than $ 70 million of capital from other investors to the first quarter, and files with the offer of the US Securities and Exchange Commission.

The process of collecting donations was described as “slow” by two people while knowing efforts. One person said it was “difficult to collect donations” because AGL “has no busy credit record.”

When it was launched, the partnership was described as a way for the Parklise to take advantage of the growing private credit market, as investment funds are written traditionally photographed by banks, and the two companies agreed to the cooperation agreement for a period of five years as part of the deal.

Barclays did not commit his own money, but AGL got the first rejection right in bank deals. You can also invest in transactions that are secured by other banks.

Taylor Wright, head of investment banks in Barclays, said at the time that there is a “strong desire” from the bank’s customers “to work with one partner who can provide a full range of financing solutions … and the strong investment capabilities of AGL and their registration.

However, in its annual report, AGL told the investors that its limited record is a dangerous factor, and they indicated that many of its competitors are “much more experienced and largely and have much more financial, technical and marketing resources than we do.” The fund included investments of $ 473 million at the end of last year.

The difficulties of collecting donations is a symptom of slowdown in private markets, which reduced the ability of big investors to commit new money.

The private credit collection for the third year in a row decreased in 2024, with the lion share of the new obligations that will be established for the players, according to Preqin data.

Two people who reviewed the partnership refused the proposal that the collection of donations was slow, as one of them indicated that Barclays and AGL had not set any difficult goals of the efforts. Another person said that AGL was in conversation with potential investors who were still taking care of the fund.

“We are very happy with the high level of interest in AGL’s new private credit platform with all investments in line with our distinct strategy since the launch of October,” AGL said in a statement.

“Barclays offers a full range of strategic solutions and financing to customers, including direct lending,” the bank said. “We are happy with how to partner with AGL and look forward to continuing to enhance our capabilities in this field.”

The power of traditional bond markets and loans has restricted any repercussions of the bank from the challenges of collecting donations. The banks, including Barclays, were comfortable to adhere to the new acquisition funds with the recovery of markets.