AGL Credit Management (AGL), Barclays and the Abu Dhabi Investment Authority (ADIA) have teamed up to invest in private credit. AGL has launched a new vehicle, AGL Private Credit Platform.

The AGL Private Credit Platform will get exclusive access to private credit deals originated by Barclays’ leveraged finance and investment banking businesses.

ADIA is reported to have committed $1bn as an anchor investor. With leverage, this could provide the AGL Private Credit Platform with over $2bn of investment capital.

The platform will invest in directly originated senior secured loans to large corporates.

AGL is a New-York-headquartered investment manager focused on corporate loans. AGL manages CLOs and funds. The firm has have over $14bn in assets under management. AGL was founded in 2019 by former loan market-maker Peter Glesyteen and private equity veteran Thomas H. Lee. It has been supported by ADIA since its founding. The firm has 11 dedicated investment professionals.

This cooperation arrangement gives Barclays additional capabilities to offer its investment banking clients – reducing the risk of them going to other banks who have private credit capabilities.

We expect to see more investment banks to find ways to provide their clients with a private credit offering. Other banks including JP Morgan and Goldman Sachs have also set up their own arrangements to provide their clients with private credit financing.