TPG Twin Brook Capital Partners (“TPG Twin Brook”), the middle-market direct lending platform of TPG Inc., and Coller Capital, the world’s largest dedicated private market secondaries manager, closed a $3 billion credit-focused continuation vehicle, marking the largest completed transaction of its kind to date in the private credit secondaries market.

The continuation vehicle was established to acquire a diversified portfolio of floating-rate, senior secured, sponsor-backed loans from TPG Twin Brook’s 2016 and 2018 vintage funds. The vehicle supports long-term alignment between TPG Twin Brook and its LP base by providing existing investors with an attractive liquidity option, and offering new investors access to a diversified and high-quality pool of private credit assets alongside a long-tenured manager. It also reflects increasing institutional demand for credit secondaries, with transaction volume in the category accelerating as the broader private credit market continues to mature and expand.

“The successful close of our first continuation fund underscores the strength of our partnership with Coller Capital and our shared commitment to maximizing the value of high-performing assets while delivering creative liquidity solutions to our investors,” said Trevor Clark, Founder and Managing Partner of TPG Twin Brook. “The strong support we received validates our flexible, solutions-based approach, and we look forward to continuing to manage these loans through the next phase of their lifecycle.”

“We’re proud to back TPG Twin Brook in what is a milestone transaction for the private credit secondaries market,” said Michael Schad, Partner and Head of Coller Credit Secondaries at Coller Capital. “This is a high-quality, diversified portfolio managed by one of the most consistent credit platforms in the market, and we are pleased to support its continued success with long-term, strategic capital.

“This transaction demonstrates what can be achieved when strong portfolio fundamentals meet thoughtful structure and partnership,” adds Jonathan Leu, Principal at Coller Capital. “We appreciated the opportunity to work closely with TPG Twin Brook to design a solution that delivered on multiple priorities: liquidity, alignment, and long-term capital.

The transaction supports long-term alignment between TPG Twin Brook and its LP base while enabling continued active management of its highly diversified and performing portfolio of North American middle-market borrowers. 

Campbell Lutyens served as financial adviser on the transaction. Legal counsel for Coller Capital was provided by Debevoise & Plimpton LLP. Ropes & Gray LLP acted for TPG Twin Brook. Deutsche Bank provided financing for the transaction.