It is for information purposes only and addresses accredited investors; such as wealth managers, family offices, and high-net-worth individuals. As of year-end, consistent with the prior quarter, we had investments in four portfolio companies on nonaccrual status, representing 2.0% and 1.2% of our total debt investments at cost and fair value, respectively. | This call is being recorded on Thursday, February 23, 2023. Speaking on todays call will be CCAPs President and Chief Executive Officer; Jason Breaux; Chief Financial Officer, Gerhard Lombard; and Managing Director, Henry Chung. 2023 PitchBook. Jason Breaux: Yes. Which companies in this hub have the most subsidiaries? We are a community of like-minded real estate investors who together have a stronger purchasing power to acquire and operate multi-family properties for their potential of hands-free, tax-free passive income. Please turn to Slide 6, where youll see a summary of our results. AirAsia plans to launch ride-hailing service in Spore, but do they stand a chance to compete? S&P 500 Index generated an average annual compounded return of only 9.2% during the same 10-year period. Gerhard will then review our financial performance during the fourth quarter. That nonrecurring income has now been replaced by recurring yield related income from Crescents originated assets. Angel, Fund of Funds, Venture Capital), Median number of investments made by investors in this hub, Median number of lead investments made by investors in this hub, Announced Date: Date the acquisition was announced, Acquirer Name: Name of the acquiring organization, Transaction Name: Auto-generated name of transaction (e.g. And two, the exchange ratio for the stock component of the merger consideration and the amount of cash from Crescent BDC will be determined by the respective net asset values of Crescent BDC and First Eagle BDC and customary merger adjustments two days prior to closing. Crescent Credit. After submitting your request, you will receive an activation email to the requested email address. . We initially share this idea in October 2018 and the stock already returned more than 150%. Total investment income again reached its highest level since inception and recurring yield related investment income continues to grow in both absolute dollars and as a percentage of our total revenue, which Gerhard will provide more color on. Our portfolio at fair value was comprised of the following: $30MM Weighted Average Portfolio Company EBITDA, Disciplined portfolio construction with average position size <1% of total fair value. You can sign up for additional alert options at any time. Id also note that PIK income continues to represent a modest portion of our revenue at approximately 2% of total investment income. With that, Id now like to turn it over to Jason. Actually Warren Buffett failed to beat the S&P 500 Index in 1958, returned only 40.9% and pocketed 8.7 percentage of it as fees. management team, and recent news are also included. 1: AUM as of 12/31/2022 and includes committed assets and employee investments in Crescent managed portfolios. Or was it a more normal course of business add-ons or growth or whatever? ", "Our growth strategy was perfectly aligned with Crescents. And with that, operator, please open the line for questions. In addition, our portfolio managers have responsibility for multi-asset class strategies that are constructed from each of the asset classes we manage. Thank you! Investors in our funds include both domestic and international pension funds and endowments. In particular, in the past 15 years Crescent has been the most active private equity manager in healthcare in Australia. Turning to Slide 16. Our net asset value per share ended the year at $19.83, down 1.6% as compared to the prior quarter. Crescent Capital is a Belfast based venture capital fund manager. I mean how would the how are the operating trends doing? CCS Fund VIII Becomes Largest Capital Raise in Crescent's History. From a liquidity perspective, as of year-end, we had $225 million of undrawn capacity, subject to leverage, borrowing base and other restrictions and $17 million in cash and cash equivalents. An investment in Crescent BDC is different from a direct investment in any of the asset types shown above. Crescent raised its first fund in 1992 and has consistently been a leader in the private debt market, focusing on senior secured unitranche securities and junior debt. We are proud to have globally leading NPS scores with our executive partners. Our team have been drawn from top tier strategy consulting practices and operating leadership roles in industry. Crescent Capital focuses on acquiring multi-family real estate in high-growth secondary and tertiary markets throughout the Sun Belt. Operator: Thank you. He most recently served as Executive Vice President at PIMCO based in New York City, where he led business development across large corporate pensions, family offices, endowments, foundations and healthcare institutions. Use the PitchBook Platform to explore the full profile. The total size of the investment portfolio is around USD 400 million which includes hydro, wind, solar assets under operation. March 29-30, 2023 Convene, 117 W 46th St, New York, April 19-20, 2023 Convene, 117 W 46th St, New York, May 17-18, 2023 Hilton Tower Bridge, London, May 23-24, 2023 Convene 117 West 46th Street, New York, Get limited access to our industry news, analysis and data, plus regular email updates. secretly invested like a closet index fund), Warren Buffett would have pocketed a quarter of the 37.4% excess return. Read More Our Strategy Learn more about our investing strategy. it's been delivered there. Weve generated significant investment income in the form of fees, dividends and accelerated amortization of OID from the Alcentra portfolio over close to the last two years having realized 136% of our cost basis with approximately $22 million of unrealized value remaining. Private Equity Portfolio. You can get rich by returning 20% per year and compounding that for several years. 2023 Crescent Capital Group LP. Good morning, everyone, and thank you for joining our earnings call. Realized gains and losses, we believe, is a more important metric in grading our performance than unrealized gains and losses, which has meaningfully less impact on our longer-term results. Crescent Capital Group is headquartered in Los Angeles with offices in Boston, London, and New York. Wed like to thank all of you for your continued support and time today. We are an equity partner that brings more than money to the relationship. And with that, Id like to turn it back to Jason for closing remarks. We redeployed the majority of the proceeds from this monetization activity primarily into directly originated higher spread Crescent private credit opportunities. Crescent Capital is an independent private equity and asset management firm with a focus on energy and infrastructure investments in Turkey and surrounding regions. Net realized losses were less than $0.05 per share. Crescent Capital Partners invests in companies and sectors with growth potential within Australia & New Zealand or internationally. Thanks for the question. ET. How Crescent invests Crescent began life in 1991, when managing partners Attanasio and Jean-Marc Chapus established Crescent Capital Corp. Our team have over 30 years experience assisting healthcare businesses accelerate growth. By providing your email address below, you are providing consent to Crescent Capital BDC, Inc. to send you the requested Investor Email Alert updates. At Crescent Capital BDC, Inc., we promise to treat your data with respect and will not share your information with any third party. Warren Buffett took 25% of all returns in excess of 6 percent. If youre looking for capital and an active partner to accelerate the growth of your business or thinking about exiting by bringing in new investors, please feel free to contact me by phone or email to find out more. In the same report you can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12-24 months. Continued strong performance ratings and low nonaccrual levels. I believe he will not only run again next year, but could win a 2nd Presidential term and by a LANDSLIDE. UAE-Based Edtech Startup Ostaz Is On A Mission To Become A One-Stop-Shop For Education, AirAsias Tony Fernandes Refocuses Back on a Superapp Just for Travel, Malaysia Healthcare Partners with AirAsia, Air India Express, AirAsia begin merger drill, MiL.k launched its first global point exchange service with airasia, Datactics Jamie Gordon on Big Financial Institutions and their Messy Datasets. In particular, in the past 10 years Crescent has been the most active private equity manager in healthcare in Australia. As you can see on the right-hand side of the slide, we have a low level of debt maturities over the next few years with $150 million maturity related to our 5.95% unsecured notes in July 2023. 2009 Crescent Capital, All Rights Reserved. One, the Boards of Directors of Crescent BDC and First Eagle BDC have each unanimously approved the transaction. Next, CBDC Senior Loan Fund, our joint venture was formally dissolved during the fourth quarter after being largely wound down in recent quarters. To reiterate Henrys comments, we prioritize delevering during Q4 in advance of the close of the First Eagle acquisition. The shocking amount some people have saved, and why speaking with a financial advisor could help increase your returns and alleviate stress. We remain very excited about the acquisition as we believe the combination provides many strategic and financial benefits to the combined company. LOS ANGELES, February 28, 2023--(BUSINESS WIRE)--Crescent Capital Group LP, a leading alternative credit investment firm, announced today that Jonathan Harari has joined the company as Global Head of its Investor Solutions Group. Robert Dodd: Got it. All data as of 12/31/2022. Click here. Insights about top trending companies, startups, investments and M&A activities, notable investors of these companies, their. ", "It has been Crescents human capital that has been most valuable to us. The weighted average loan-to-value in the portfolio at time of underwriting was approximately 40%, which provides the same margin of safety from both an enterprise value perspective as well as capitalized risk beneath our tranche that is available to support our investments. How much aggregate funding have these organizations raised over time? Through our deep inhouse expertise assisting emerging and growth companies across Australia and New Zealand since 2000, we have raised over $3bn across six funds and completed more than 45 foundation investments and assisted our portfolio companies with over 150 follow-on acquisitions. With deep in house expertise, we provide the support to accelerate growth creation in our portfolio companies. We have a track record of expanding Australian businesses into Asia with over 50% of portfolio companies having an Asian presence. We appreciate your continued interest in CCAP. That being said, the broader Crescent private credit platform remained active with over $800 million of capital committed to new portfolio investments during the fourth quarter and over $5.5 . Angel - Uber), Money Raised: Amount of money raised in Funding Round, Total number of investments made by investors in this hub, Announced Date: Date when the Investment is announced, Investor Name: Name of the investor who participated in the Investment, Funding Round: Name of the funding round where the Investment is made, Number of Investors: Total number of Investors in a Funding Round, Total number of lead investment firms and individual investors that invested in organizations of this hub, Total number of investment firms and individual investors that invested in organizations of this hub, Organization/Person Name: Name of the Organization or Person, Location: Where the organization is headquartered, Investor Type: This describes the type of investor this organization or person is (e.g. Crescent Capital Partners General Information. Access to our investment and operational team brings unparalleled support to our portfolio companies. We still like this investment. (310) 235-5900 What's the investment trend over time for this hub? More About us Our Portfolio at a Glance $ 1.3 B Portfolio Size (at Fair Value) 129 Portfolio Companies 90% First Lien Investments Capital raised by global funds reached almost $150 billion as of 30 September, up 19 percent year over year, Private Debt Investor reported. Healthcare is Crescent's largest sector by investment. If you experience any issues with this process, please contact us for further assistance. You must click the activation link in order to complete your subscription. As of December 31, 99% of our debt investments at fair value were floating rate with a weighted average floor of 80 basis points, which compares to our 72% floating rate liability structure based on debt drawn with no floors. Sorry, no results has been found matching your query. Operator: Good afternoon, ladies and gentlemen, and welcome to the Q4 2022 Crescent Capital BDC, Inc. Earnings Conference Call. Don't have an account? That means much bigger government. Gross deployment in the fourth quarter was $46 million. Powered by Investor Host, Multi-Family & Commercial Property Investing, Understanding How Real Estate Syndications Work in Practice, The Tax Benefits of Investing in Multifamily Real Estate. As of December 31, we managed our debt-to-equity ratio down to 1.08x from 1.11x at September 30. Real Estate Portfolio Direct and LP investments across various asset types across the United States, including commercial, retail, multi-family, residential, hotel, development, self-storage and RV Parks. Crescent Capital Group LP ("Crescent"), a leading alternative credit investment firm, announced today the successful final close of its eighth private credit solutions fund, Crescent Credit Solutions VIII ("CCS Fund VIII"), raising $8 billion in investable capital, including targeted leverage and separately managed . Through our deep inhouse expertise assisting emerging and growth companies across Australia and New Zealand since 2000, we have raised over $3bn across six funds and completed more than 45 foundation investments and assisted our portfolio companies with over 150 follow-on acquisitions. While we do anticipate further market volatility and the potential for spread widening as the cycle progresses, we feel good about our current portfolio, and we remain very excited about the First Eagle BDC transaction as we further enhance our scale and position. Crescent Capital BDC, Inc. (NASDAQ:CCAP) Q4 2022 Earnings Call Transcript, How to Best Use Insider Monkey to Increase Your Returns, 6 Things You Didn't Know About Hedge Funds. An offering is made only by the applicable offering documents and only in those jurisdictions where permitted by law. That being said, the broader Crescent private credit platform remained active with over $800 million of capital committed to new portfolio investments during the fourth quarter and over $5.5 billion for the full year. There are no further questions at this time. I think you said something to the effect of the portfolio companies have adequate liquidity, and in some cases, its been addressed or something like that. Video: Cameron Johnson, CEO Nucleus Network. And so on a pro forma combined basis, I think were going to end up sort of right in the middle of our target leverage range that we publicly stated as kind of 1.1 to 1.4. Home - Crescent Capital Investments Earn Accelerated Returns Through Multi-Family Real Estate About Us Discover more about our company and values. Robert Dodd: Hi guys. We did intentionally delever a bit here in Q4 in anticipation of the merger. Crescents investment activities are managed by dedicated teams focused on each of these asset classes. Average Retirement Savings By Age: Are You Normal? Crescent has achieved strong success in Financial Services, with expertise in creating value through organic growth, acquisitions and geographical expansion into Asia. Our investment portfolio continues to consist primarily of senior secured first lien and unitranche first lien loans, collectively representing 90% of the portfolio at fair value, up from 89% in the prior quarter. Please check your spam or junk folder just in case Get our editors daily picks straight in your inbox! Crescent Bit Capital is a type of secure investment that grows your money at a guaranteed rate based of chosen plan of interest for a fixed period of time. In addition to equity capital, partnering with Crescent brings access to deep industry expertise and significant strategy and operational support. Heres an airasia flight discount BigPay users can benefit from for 2023, High Airfares Are Here to Stay, AirAsias Fernandes Says. There are significant risks that should be considered and reviewed when considering an investment in real estate. Crescent Capital is a Belfast based venture capital fund manager We immerse ourselves in your business Experience With our experience and knowledge we can unlock the full potential of your business. We have a large internal team which helps accelerate a portfolio company management teams decision making. We have a diverse portfolio across healthcare, industrial, financial services, technology, education and consumer brands. For over 30 years, the firm has focused on below investment grade credit through strategies that invest in marketable and privately originated debt securities including senior bank loans, high yield bonds, and private senior, unitranche, and junior debt securities. This website is neither an offer to sell nor a solicitation of an offer to buy securities. Crescent has launched and fully invested the first energy-focused private equity fund in Turkey. We believe an active engagement model is a leading indicator of strong company performance. Crescent Capital is a leading investor across real estate, private equity and venture capital. Do you expect to be running lower leverage than was the case to present historically? In this report, "we," "us," "our" and "Company" refer to Crescent Capital BDC, Inc. and its consolidated subsidiaries. Total investment income of $34.6 million for the fourth quarter, the highest quarterly figure weve reported since inception compares to $29 million for the prior quarter, representing an increase of approximately 19%. Great. We believe that these asset classes provide our clients with opportunities to generate income while preserving capital. An investment in Crescent BDC is different from a direct investment in any of the asset types shown above. To opt-in for investor email alerts, please enter your email address in the field below and select at least one alert option. Jason Breaux: Okay. Jason Breaux: Hey Robert, its Jason. We look forward to speaking with you again soon. Get matched with a tax expert to do your taxes, https://www.businesswire.com/news/home/20230228005594/en/. Do you expect to be running on a combined basis going forward? The decline relates primarily to unrealized losses we took to reflect wider credit spreads in the market as volatility within the leveraged finance and equity markets continued during the fourth quarter. We take great pride in building long term partnerships with our investors based on an established reputation for delivering consistently strong performance. Gerhard Lombard: Thanks, Henry, and good morning, everyone. Comments made over the course of this conference call and webcast may contain forward-looking statements and are subject to risks and uncertainties. Crescents track record is successfully managing through multiple economic and market cycles, provides us with significant and relevant experience navigating what could be a challenging environment in 2023 and beyond. Insights about top trending companies, startups, investments and M&A activities, notable investors of these companies, their Leaderboard We have a diverse portfolio across healthcare, industrials, financial services, technology, education and consumer brands. bdcir@crescentcap.com. Crescent Capital Partners is a leading Australian private equity firm. Crescent Capital's shares are likely to rebound, as fundamental factors don't support the downtrend. I would say broadly speaking, we continue to feel good about the health of the overall portfolio. Win whats next. The obvious, I mean, how you gave the interest coverage based on year-end rates. "Crescent were willing to invest initially and on a continued basis to maintain our technologically leadership position. Jason Breaux: Sure. At Crescent Capital BDC, Inc., we promise to treat your data with respect and will not share your information with . We have seen revenue growth outpace EBITDA or cash flow growth, which we would attribute largely to inflationary pressures and higher wages, labor market tightness and the like. Thank you, operator. Please note that Crescent Capital BDC, Inc. may be referred to as CCAP, Crescent BDC or the company throughout the call. The companys actual results could differ materially from those expressed in such forward-looking statements for any reason, including those listed in its SEC filings. ", "Crescent add value across business development, acquisition and enhancement activities. "Jonathan brings a wealth of investor relations experience to Crescent, and we are excited for his leadership as we seek to grow our client relationships and respond to the increasing demand for our alternative credit offerings," said Jean-Marc Chapus, Managing Partner and Co-Founder of Crescent Capital Group. Please turn to Slides 13 and 14 of the presentation, which highlights certain characteristics of our diversified portfolio.