York Capital Management ("York"), a global private investment firm, and Kennedy Lewis Investment Management ("Kennedy Lewis"), a leading opportunistic credit manager, today announced a strategic partnership to form a new entity to be called Generate Advisors, LLC ("Generate Advisors").
Under the partnership agreement, York’s approximately $4 billion Collateral Loan Obligation ("CLO") business and team, led by Rizwan Akhter, will transition to Generate Advisors and continue to manage York’s current CLO portfolio as well as any future CLOs issued by Generate Advisors. Kennedy Lewis will be investing in Generate Advisors and has committed at least $200 million of capital to be invested in the equity of Generate Advisors’ future CLOs.
"We are pleased to partner with Kennedy Lewis to continue to grow our strong CLO franchise," said Jamie Dinan, Founder and CEO of York. "Over the past 6 years, York has demonstrated its ability to scale our issuance and meet the needs of investors. We are confident that with Kennedy Lewis’ strategic partnership and equity commitment, we will further our ability to execute successful transactions in today’s market environment and for years to come."
"The opportunity to support and scale a top CLO manager has been a goal of Kennedy Lewis’ growing credit platform since its early days," said David Chene, Co-Founder of Kennedy Lewis Investment Management. "The ability to do so alongside such a well-regarded asset manager as York, to partner with a former colleague in Rizwan and his exceptional team, and bring in the support of our strategic investor Azimut Alternative Capital Partners is the ideal setup for Generate Advisors’ future success."
Mr. Akhter will manage Generate Advisors. He and Bill Vrattos, York’s Chief Investment Officer, will be joined by representatives from Kennedy Lewis to form the CLO Investment Committee. Messrs. Akhter and Vrattos will join Generate Advisors’ Board of Managers. David Chene and Darren Richman, Co-Founders of Kennedy Lewis, and Doug Logigian, President of Kennedy Lewis will join Messrs. Akhter and Vrattos in managing Generate Advisors and will serve on the Board.
"We greatly appreciate York’s support and sponsorship of our business since inception and are excited by this new strategic partnership, which provides our CLO platform with strong momentum for its next stage of growth," said Rizwan Akhter. "We look forward to working closely with all our investors and stakeholders as we continue to build our business."
The strategic partnership is subject to certain closing conditions.
About York Capital Management
York Capital Management is a global private investment firm established in 1991. The firm manages approximately $13 billion in assets. York Capital employs approximately 50 investment professionals and over 150 employees globally, primarily in New York, London and Hong Kong. For more information, please visit York Capital’s website at www.yorkcapital.com.
About Kennedy Lewis
Kennedy Lewis is an opportunistic credit manager founded in 2017 by David K. Chene and Darren L. Richman with approximately $3 billion under management. Kennedy Lewis’ strategy primarily focuses on middle-market companies facing disruption, whether it be cyclical, secular or regulatory related. The firm also partners with high growth companies that are causing disruption, providing structured capital solutions to fit their needs. For more information, please visit Kennedy Lewis’ website at www.klimllc.com.
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For York Capital:
Nathaniel Garnick/Kevin FitzGerald
Gasthalter & Co.
For Kennedy Lewis: