Bain Capital Affiliate Buys Global Loans Portfolio From JP Morgan

Tom Burroughes

30 July 2014

, a managed credit affiliate of Bain Capital, has agreed to acquire a $1.3 billion portfolio of loans and other securities from JP Morgan's Global Special Opportunities Group.

The portfolio contains mezzanine loans in North America and Europe, as well as loans and related special situations investments in Australia and across Asia, Sankaty said in a statement yesterday. The definitive purchase agreement follows Sankaty Advisors' other purchases of loan portfolios from Irish Bank Resolution Capital, Lloyds Banking Group and CapitalSource, it said.

The transaction, which is expected to close by the end of 2014, is subject to borrower and regulatory approvals. Kirkland & Ellis served as legal counsel to Sankaty Advisors. JP Morgan advised on the sale and Davis Polk & Wardwell, served as legal counsel to JPMorgan Chase.

This transaction is not expected to have a material impact on JP Morgan's earnings.

Sankaty Advisors is the independently-managed credit affiliate of Bain Capital and was founded in 1998. It now oversees more than $24 billion of assets and employs 200 people. An employee-owned private partnership, it has offices in Boston, New York, Chicago, London, Luxembourg and Melbourne.