Hayfin Is Pursuing a Management Buyout Instead of a Sale

Hayfin Capital Management, the private-credit specialist that began exploring a sale last year, has put those plans on ice in favor of a management buyout, a person with knowledge of the matter said.

The firm’s management team is talking with potential financing providers as they seek to repurchase a majority stake from British Columbia Investment Management Corp., said the person, who asked not to be identified discussing confidential information. A management buyout, should it go forward, is set to value the firm at around €1.2 billion ($1.3 billion).