European credit specialist AlbaCore Capital Group has launched a new senior direct lending strategy, having secured anchor investments from a wholly owned subsidiary of the Abu Dhabi Investment Authority ( ADIA ) and Mitsubishi UFJ Trust and Banking Corporation ( Trust Bank ).

AlbaCore has successfully completed its first close, bringing together an expected US$1.8 billion in investable capital. With the launch of the strategy, AlbaCore says it is well positioned to take advantage of the growing opportunity to finance loans, further expand its market presence and deliver enhanced value to clients globally.

“Securing commitments from ADIA and the Trust Bank for the first vintage of our senior direct lending strategy is a testament to the attractiveness of the opportunity set in the market and how well positioned AlbaCore is to take advantage of it,” says David Allen, managing partner and chief investment officer of AlbaCore.

AlbaCore says the strategy will leverage its deep knowledge of European corporate capital structures to build a diversified portfolio of senior direct lending investments, focusing on downside protection and delivering attractive risk-adjusted returns. The strategy will also draw on AlbaCore’s thorough bottom-up fundamental credit analysis to primarily finance senior private loans in upper mid to large cap European corporates.

Founded in 2016, AlbaCore is part of the First Sentier Investors Group. It manages US$9 billion of assets ( as of December 31 2024 ) on behalf of global pension funds, sovereign wealth funds, consultants, insurance companies, family offices and endowments around the world.