NEWARK, N.J.--(BUSINESS WIRE)--Prudential Capital Group today announced that Her Majesty’s Treasury, the United Kingdom’s economics and finance ministry, allocated £200 million (about US$323 million) of a total £700 million (about US$1.1 billion) to the firm as part of a partnership to make more capital available to mid-sized U.K. businesses. Prudential Capital Group is an investment manager focused on providing capital for middle-market, public and private companies, and an investment business of Prudential Financial, Inc. (NYSE:PRU)
“The initiative also raises the visibility of opportunities in non-bank lending/investing for institutional investors beyond the traditional U.S. base. We anticipate active participation among U.K. institutional investors.”
The £200 million was allocated to the Pricoa Sterling Fund, which, consistent with the objectives of the public/private partnership, will invest in debt securities of U.K. companies with less than £500 million in annual revenue. The funds will be invested alongside the advisor’s parent and other institutional investors.
Prudential Capital Group is one of the largest middle-market private placement investors in the world with more than 70 years of experience. Globally, the firm has lending relationships with more than 1,000 companies and manages a portfolio of more than $65 billion, including $10 billion managed for non-affiliated investors, as of September 30, 2012.
HM Treasury launched the initiative, called the Business Finance Partnership, earlier this year to increase the supply of capital through non-bank lending channels and to help diversify capital sources. The U.K. Chancellor’s Autumn Statement, dated Dec. 5, 2012 announced the investment of £700 million toward the creation of five new funds that will lend to mid-sized companies.
“The Business Finance Partnership was a perfect fit for Prudential in that we have been actively executing a non-bank, institutional lending model in the U.K. for more than 20 years,” said Albert Trank, a managing director with Prudential Capital Group responsible for the firm’s advisory funds and investor relationships. “The initiative also raises the visibility of opportunities in non-bank lending/investing for institutional investors beyond the traditional U.S. base. We anticipate active participation among U.K. institutional investors.”
Prudential Capital Group has been a leading provider of private debt, mezzanine and equity securities to companies worldwide for more than 70 years. Managing a portfolio of more than $65 billion as of September 30, 2012, Prudential Capital offers senior debt and mezzanine capital, leveraged leases, credit tenant leases, and equipment finance to companies, worldwide. The global regional office network has locations in Atlanta, Chicago, Dallas, Frankfurt, London, Los Angeles, Minneapolis, Newark, N.J., New York, Paris and San Francisco. For more information, please visit www.prudentialcapitalgroup.com.
Prudential Financial, Inc. (NYSE: PRU), a financial services leader with approximately $1.005 trillion of assets under management as of September 30, 2012, has operations in the United States, Asia, Europe, and Latin America. Prudential’s diverse and talented employees are committed to helping individual and institutional customers grow and protect their wealth through a variety of products and services, including life insurance, annuities, retirement-related services, mutual funds and investment management. In the U.S., Prudential’s iconic Rock symbol has stood for strength, stability, expertise and innovation for more than a century. For more information, please visit http://www.news.prudential.com/.