LC Special Credit Opportunities Fund 2
About the Fund
Providing high-yield direct lending and special situations credit opportunities to mid-market companies across the APAC region. The fund captures the entire spectrum of credit opportunities, including performing credit, structured credit, asset-backed lending, dislocated credit, high yield bonds, and event-driven situations. The objective is to generate competitive risk-adjusted returns by addressing the significant financing gap in Asia's underserved private credit market.
The Private Credit Opportunity in Asia
APAC’s share in total global private credit market stands at c. 6%, far behind its
contribution to the global GDP at ~37%.
Non-bank lending is a dominant source of financing in the US & EU. However,
in APAC, non-bank lending has remained well behind, addressing less than a
quarter of the total financing requirement.
Primarily focused on large corporates, bank financing has been unable to
meet the financing requirements of Asian SMEs (accounting for 42% of GDP
and 62% of employment in the region). This has created an estimated
financing gap of US$ 2.1tn, and a significant opportunity for non-bank lenders.
Capturing High Yield Credit Opportunities
Performing Credit
Secured lending with strong convenants to performing mid-market companies
Structured Credit
High-quality credit opportunities of various assets types, vintages, maturities, jurisdiction, and capital structure priorities
Asset Backed Lending
Lending backed by a broad range of assets with a focus on tangible collateral
Dislocated Credit
Misplaced debt opportunities due to either market stress or lack of liquidity
Event Driven
Event driven, special situations trades
High Yield Bonds
Opportunistic deployment to High Yield Bonds
Team
Sanket Sinha, CFA
Portfolio Manager
17 years of experience in investment management, structured credit and private financing; Ex entrepreneur in fintech; MBA from IIM Kozhikode. In his current and previous roles, he has executed over USD 750M of private investment transactions across sectors like life sciences, logistics, marine, roads, retail, real estate and Technology
Ankit Agrawal, CFA
Portfolio Manager
14 years of experience in investments (private equity, long term and structured debt) and consulting; MBA from IIM Kozhikode. In previous roles, has executed new investments of US$300m and managed aggregate portfolio of US$500m comprising of funds, hospitality, logistics, agribusiness, healthcare and real estate.
