Tom Newberry, the former head of global leveraged finance capital markets at Credit Suisse Group AG (CSGN), joined CVC Credit Partners to lead the firm’s private funds business.
Newberry, 50, who starts on Sept. 10, will be based in New York and will serve on CVC Credit’s operating board, the firm said today in a statement distributed by PR Newswire.
CVC Capital Partners Ltd., the European buyout firm with offices in London and New York, agreed to buy Resource America Inc. (REXI)’s leveraged-loan investments unit in January, in a move to expand into U.S. credit markets. The firm combined its Cordatus debt unit with Resource’s Apidos Capital Management to form CVC Credit Partners, according to a Jan. 4 news release.
“Tom is very well respected in the global leveraged- finance markets and is well known by other private-equity firms, by corporate clients and by debt investors, both in the U.S. and Europe,” Stephen Hickey, chief risk officer for the group, said in a telephone interview. “It is a testament to the CVC franchise that we were able to attract Tom.”
CVC Credit, which manages $7.9 billion in assets across 23 funds, hired Hickey, the former head of global leveraged finance at Goldman Sachs Group Inc., in April. Barclays Plc raised a $409.8 million collateralized loan obligation for CVC in June, according to data compiled by Bloomberg.
CLOs are a type of collateralized debt obligation that pool high-yield, high-risk loans and slice them into securities of varying risk and return.
More Hires Possible
As head of private credit funds, Newberry is expected to have oversight for potential mezzanine funds, direct lending vehicles and business-development companies managed by CVC Credit. The firm may make additional hires in the future to support these funds, Hickey said.
Newberry will report to the management committee made up of Hickey, Marc Boughton, CVC Credit chief executive officer, and Jonathan Cohen.
Newberry was previously Credit Suisse’s head of global leveraged-finance capital markets and syndicated loans, responsible for the underwriting of high-yield bond, mezzanine and syndicated loan transactions, as well as the sale and trading of both performing and distressed loan assets. He left last year.
He joined Credit Suisse in 2000 when the bank merged with Donaldson, Lufkin & Jenrette, where he was head of U.S. loan capital markets.
Newberry sat on the board of directors of the Loan Syndications and Trading Association, a loan industry trade group, for six years, serving as both the chairman and vice chairman.
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