AlpInvest Partners, a global private equity investor and subsidiary of Carlyle, has announced a new credit co-investment partnership with Mubadala Investment Company. This partnership will focus on providing portfolio senior fund financing globally to private equity funds. The collaboration marks an extension of the long-standing relationship between Mubadala and Carlyle.

The initiative represents a significant step in AlpInvest's portfolio finance strategy, which began in 2018. Since then, AlpInvest has been involved in approximately $4 billion worth of portfolio fund financing transactions. This new venture aims to enhance AlpInvest's capacity to support private equity managers in driving value within their funds.

Mubadala's involvement signifies its expansion into senior loans against fund portfolios, aligning with its existing strategies in direct lending and other financial sectors. Fabrizio Bocciardi, Head of Credit Investments at Mubadala, expressed satisfaction with the expanded relationship: “We are pleased to expand our longstanding relationship with Carlyle through this new strategic partnership which will invest into portfolio senior fund financing, building on AlpInvest’s sector expertise to address this growing market.”

The partnership has already completed its first investment. Michael Hacker, Global Head of Portfolio Finance at AlpInvest, stated: “This new partnership with Mubadala aligns with AlpInvest’s vision of creating transformative financing support for private equity funds as they continue to drive value for their limited partners.”

Both companies are committed to carefully structured financings that optimize long-term value for the funds they support. They have endorsed guidelines from the Institutional Limited Partners Association (ILPA).

AlpInvest manages over $80 billion in assets and employs more than 230 people across several major cities worldwide. Meanwhile, Mubadala manages a $302 billion portfolio across six continents.