Crescent Capital is an independent private equity and asset management firm with a focus on energy and infrastructure investments in Turkey and surrounding regions. . We take great pride in building long term partnerships with our investors based on an established reputation for delivering consistently strong performance. We initially share this idea in October 2018 and the stock already returned more than 150%. Henry Chung: Thanks, Jason. Based in New York, Mr. Harari is responsible for developing and executing Crescents strategic sales and marketing plan for clients and assets, including identifying potential new investors, developing and maintaining client relationships, designing new investment solutions and managing Crescents investor relations and client solutions team. Our net investment income outpaced our regular dividend by $0.11 per share, which was offset by net unrealized depreciation on investments of $0.44 per share. Only logged in subscribers of this site will be able to access the shared article. In addition, a reconciliation of this measure may also be found in our earnings release. | What's the investment trend over time for this hub? 1: AUM as of 12/31/2022 and includes committed assets and employee investments in Crescent managed portfolios. Video: Cameron Johnson, CEO Nucleus Network. We see our role as working on the business, helping accelerate business decisions by providing capital, the consulting toolkit and done it before experience. Operator: Thank you. Passive Investing: Which Real Estate Strategy is Right for You. Crescent Capital is a leading investor across real estate, private equity and venture capital. Operator: Thank you. After that, there are no remaining term maturities until 2026. It is ideal for investors looking for capital security.Open to Asia , Europe , America ,and Africa on Investment / Financial Plan Portfolio Office Customer Support Hours: Monday - Sundays We see several investors trying to strike it rich in options market by risking their entire savings. Warren Buffett never mentions this but he is one of the first hedge fund managers who unlocked the secrets of successful stock market investing. Between 1957 and 1966 Warren Buffetts hedge fund returned 23.5% annually after deducting Warren Buffetts 5.5 percentage point annual fees. | By providing your email address below, you are providing consent to Crescent Capital BDC, Inc. to send you the requested Investor Email Alert updates. Powered by Investor Host, Multi-Family & Commercial Property Investing, Understanding How Real Estate Syndications Work in Practice, The Tax Benefits of Investing in Multifamily Real Estate. We have a track record of expanding Australian businesses into Asia with over 50% of portfolio companies having an Asian presence. Access to our investment and operational team brings unparalleled support to our portfolio companies. Crescent Capital Group LP ("Crescent"), a leading alternative credit investment firm, announced today the successful final close of its eighth private credit solutions fund, Crescent Credit Solutions VIII ("CCS Fund VIII"), raising $8 billion in investable capital, including targeted leverage and separately managed . The obvious, I mean, how you gave the interest coverage based on year-end rates. For over 30 years, the firm has focused on below investment grade credit through strategies that invest in marketable and privately originated debt securities including senior bank loans, high yield bonds, and private senior, unitranche, and junior debt securities. You can unsubscribe to any of the investor alerts you are subscribed to by visiting the unsubscribe section below. Turning to Slide 16. Can you give us any color around that? That being said, the broader Crescent private credit platform remained active with over $800 million of capital committed to new portfolio investments during the fourth quarter and over $5.5 . Please go ahead. Healthcare is Crescent's largest sector by investment. Our credit culture focused on preservation of capital has led to a highly diversified portfolio invested largely in the resilient industries. Crescent BDC and Alcentra Capital will be holding a joint conference call to discuss the transaction on Tuesday, August 13, 2019 at 1:15 p.m. PT / 4:15 p.m. . The companies continue to grow on the top line and the bottom line. Heres an airasia flight discount BigPay users can benefit from for 2023, High Airfares Are Here to Stay, AirAsias Fernandes Says. As of December 31, 2022, Crescent Capital Group managed approximately $40 billion of privately originated debt investments and marketable securities. Total investment income again reached its highest level since inception and recurring yield related investment income continues to grow in both absolute dollars and as a percentage of our total revenue, which Gerhard will provide more color on. Along the way, I believe Biden could become one of the most powerful Presidents in history. In the same report you can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12-24 months. Our adjusted net investment income per share of $0.49 for the fourth quarter of 2022 compares to $0.42 per share for the prior quarter and $0.43 per share for the fourth quarter of 2021. Your submission has been received! 2023 PitchBook. 2009 Crescent Capital, All Rights Reserved. You must click the activation link in order to complete your subscription. S&P 500 Index lost 10.8% in 1957, so Buffetts investors actually thrilled to beat the market by 20.1 percentage points in 1957. First, we are targeting the closing of our announced merger with First Eagle BDC this quarter. | Private Equity Portfolio. Offerings across the credit quality spectrum After submitting your request, you will receive an activation email to the requested email address. We have just sent you an email so you can verify your account. If Warren Buffetts hedge fund didnt generate any outperformance (i.e. Active vs. We redeployed the majority of the proceeds from this monetization activity primarily into directly originated higher spread Crescent private credit opportunities. With that, Id now like to turn it over to Jason. Comments made over the course of this conference call and webcast may contain forward-looking statements and are subject to risks and uncertainties. The presentation should be reviewed in conjunction with the companys Form 10-K filed yesterday with the SEC. ", "Crescent brings a laser light focus on the things that drive value to our business.". The difference relates to a noncash reversal of our capital gains-based incentive fees on net realized and unrealized capital appreciation. Crescent Capital is an independent private equity and asset management firm with a focus on energy and infrastructure investments in Turkey and surrounding regions. Our focus on unitranche opportunities allows us to offer even greater certainty of execution to our private equity sponsors and enables us to enhance our yield opportunity while remaining at the top of the capital stack. At Crescent Capital BDC, Inc., we promise to treat your data with respect and will not share your information with . Please note that Crescent Capital BDC, Inc. may be referred to as CCAP, Crescent BDC or the company throughout the call. Well, its almost entirely because of a surprising July 25th twist that hardly anybodys talking about right now. Weve generated significant investment income in the form of fees, dividends and accelerated amortization of OID from the Alcentra portfolio over close to the last two years having realized 136% of our cost basis with approximately $22 million of unrealized value remaining. We initially share this idea in October 2018 and the stock already returned more than 150%. LOS ANGELES, Feb. 22, 2023 (GLOBE NEWSWIRE) -- Crescent Capital BDC, Inc. ("Crescent BDC" or "Company") (NASDAQ: CCAP) today reported net investment income of $59.7 million, or $1.93 per share, and adjusted net investment income of $53.4 million, or $1.73 per share, for the year ended December 31, 2022. I would now like to turn the conference over to Dan McMahon. If youre looking for capital and an active partner to accelerate the growth of your business or thinking about exiting by bringing in new investors, please feel free to contact me by phone or email to find out more. "Jonathan brings a wealth of investor relations experience to Crescent, and we are excited for his leadership as we seek to grow our client relationships and respond to the increasing demand for our alternative credit offerings," said Jean-Marc Chapus, Managing Partner and Co-Founder of Crescent Capital Group. This recurring revenue ultimately accounted for 94% of this quarters total investment income, up from 86% in Q4 of 2021. This list of organizations invested in by Crescent Capital provides data on their funding history, investment activities, and acquisition trends. Don't have an account? What's the most common final funding type when companies get acquired? Read More Our Strategy Learn more about our investing strategy. In the same report you can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12-24 months. As of December 31, 99% of our debt investments at fair value were floating rate with a weighted average floor of 80 basis points, which compares to our 72% floating rate liability structure based on debt drawn with no floors. How Crescent invests Crescent began life in 1991, when managing partners Attanasio and Jean-Marc Chapus established Crescent Capital Corp. With that, I will now turn it over to Gerhard. Real Estate Portfolio Direct and LP investments across various asset types across the United States, including commercial, retail, multi-family, residential, hotel, development, self-storage and RV Parks. We target middle market companies located in Australia and New Zealand with enterprise values of $50m to $300m. Turning back to this quarters earnings. (310) 235-5900
. Oops! Thank you again, everyone for your interest and support of CCAP. Operator: Ladies and gentlemen, this does conclude our conference call for today. Net realized losses were less than $0.05 per share. Using market interest rates at year-end, weighted average interest coverage for the total portfolio was 1.9x. Description. Crescents investment success across education, services and mining technology has helped innovative Australian businesses compete on a global stage. The fund was more than double the size of . We believe that we benefit from years of experience managing below investment grade bank loans and debt securities over multiple economic and market cycles. After submitting your request, you will receive an activation email to the requested email address. Jason Breaux: Thanks, Gerhard. Reduced net debt by approximately $850 The shocking amount some people have saved, and why speaking with a financial advisor could help increase your returns and alleviate stress. The health of the portfolio is also demonstrated by the stable weighted average portfolio grade and low nonaccrual rates. Consistent with Crescents track record of investing through cycles over the past 30-plus years, we believe we have constructed a portfolio that consists of companies that are adequately capitalized to address the current macroeconomic environment and have taken a proactive approach to bolstering liquidity in select situations where it may be warranted. SLC Fixed Income portfolios qualify as sustainable As of December 31, 2022 Key differentiators Experienced teams with deep private credit expertise Our investment teams have specialized in private debt for more than 40 years, offering the necessary skills to navigate a nuanced asset class. I will turn the call back to Jason Breaux for closing remarks. The company believes that adjusted NII per share provides useful information to investors regarding financial performance because its one method the company uses to measure its financial condition and results of operations. Crescent Capital's shares are likely to rebound, as fundamental factors don't support the downtrend. In particular, in the past 10 years Crescent has been the most active private equity manager in healthcare in Australia. The company's 90% portfolio is performing above expectations, while 89% of its portfolio. I mean how would the how are the operating trends doing? An offering is made only by the applicable offering documents and only in those jurisdictions where permitted by law. Thank you! Not the case? ", "Crescents practical and analytical approach enabled management to hit their goals. He most recently served as Executive Vice President at PIMCO based in New York City, where he led business development across large corporate pensions, family offices, endowments, foundations and healthcare institutions. ", "Crescent partnered with us and assisted in achieving our growth targets. We have consistently been able to deliver significant value-add alongside our management teams. 2023 Crescent Capital Group LP. Their primary investment focus is with Northern Ireland based companies operating in the information technology, life sciences, and manufacturing sectors. to generate high returns in the 20% to 30% range. While the higher rate environment is certainly beneficial from an earnings perspective, we are also cognizant of the fact that it is generally correlated with a slower U.S. economy which together can create more stress in the portfolio. Legal Notice. As you can see on the left-hand side of the page, over 99% was an existing senior secured first lien and unitranche investments. This is basically a recipe to generate better returns than Warren Buffett is achieving himself. More About us Our Portfolio at a Glance $ 1.3 B Portfolio Size (at Fair Value) 129 Portfolio Companies 90% First Lien Investments As of December 31, 2021, Crescent Capital Group managed approximately $38 billion of privately originated debt investments and marketable securities. Investing in the future of finance, education, SaaS, logistics, and more. You can see that the weighted average yield of income producing securities at cost increased meaningfully quarter-over-quarter from 9.5% to 10.8% on the heels of the Federal Reserves interest rate hikes and is up 330 basis points year-over-year. Register now to read this article and more for free. Next, CBDC Senior Loan Fund, our joint venture was formally dissolved during the fourth quarter after being largely wound down in recent quarters. At December 31, our stockholders equity was $613 million, resulting in net asset value per share of $19.83 as compared to $623 million or $20.16 per share last quarter and $652 million or $21.12 per share at December 31, 2021. Crescent Capital BDC, Inc. (NASDAQ:CCAP) Q4 2022 Earnings Call Transcript February 23, 2023. This video is provided by the Australian Investment Council. Please turn to Slide 6, where youll see a summary of our results. Total investment income of $34.6 million for the fourth quarter, the highest quarterly figure weve reported since inception compares to $29 million for the prior quarter, representing an increase of approximately 19%. PitchBooks data visualizations quickly surface an investors historical investmentsshowing a breakdown of activity by industry, year and region. Thank you, operator. The firm invests in companies operating in the information technology, life sciences, and manufacturing sectors. The Firm believes that these high-yield assets will deliver strong cash-flow focused returns for investors. Net realizations of $26 million in the fourth quarter, coupled with unrealized mark-to-market losses on our investments ultimately led to our total investment portfolio, holding roughly steady at approximate fair value of $1.3 billion as of December 31, 2022, down approximately $30 million quarter-over-quarter. This was by design as we believe it is prudent to prioritize deleveraging in advance of the First Eagle acquisition. Crescent Credit Solutions VIII's backers include insurance companies, pension funds, sovereign wealth funds . While we do anticipate further market volatility and the potential for spread widening as the cycle progresses, we feel good about our current portfolio, and we remain very excited about the First Eagle BDC transaction as we further enhance our scale and position. Do you expect to be running lower leverage than was the case to present historically? With a reputation for delivering strong performance through a structured and disciplined approach to investment management, our team works actively alongside senior management to drive organic growth and value creation in invested companies. Jason Breaux: Hey Robert, its Jason. You can get rich by returning 20% per year and compounding that for several years. Website by GCI. Finally, for the first quarter of 2023, our Board declared a $0.41 per share quarterly cash dividend, which will be paid on April 17, 2023, to stockholders of record as of March 31, 2023. It is for information purposes only and addresses accredited investors; such as wealth managers, family offices, and high-net-worth individuals. Crescent Capital BDC, Inc. (NASDAQ:CCAP) Q4 2022 Earnings Call Transcript, How to Best Use Insider Monkey to Increase Your Returns, 6 Things You Didn't Know About Hedge Funds. If you experience any issues with this process, please contact us for further assistance. To reiterate Henrys comments, we prioritize delevering during Q4 in advance of the close of the First Eagle acquisition. The good news is, this powerful new force can help you make a lot of money even in a bear market. With deep in house expertise, we provide the support to accelerate growth creation in our portfolio companies. That means much bigger government. Warren Buffett has been investing and compounding for at least 65 years. Through our deep inhouse expertise assisting emerging and growth companies across Australia and New Zealand since 2000, we have raised over $3bn across six funds and completed more than 45 foundation investments and assisted our portfolio companies with over 150 follow-on acquisitions. For more information about Crescent. Importantly, what we consider recurring yield related investment income comprised of interest income, fixed income, amortization and unused fees was up 21% quarter-over-quarter driven by rising base rates. Now lets shift to capitalization and liquidity. But can you give us any color on how the portfolio companies are actually performing on EBITDA or revenue or anything like that? This dynamic is evidenced by our internal portfolio ratings at the end of the fourth quarter, largely consistent with prior quarters with 87% of the portfolio rated 1 or 2, our highest rating categories. Id also note that PIK income continues to represent a modest portion of our revenue at approximately 2% of total investment income. Crescent Capital BDC, Inc. (NASDAQ: CCAP) was in 6 hedge funds' portfolios at the end of the third quarter of 2020. The foundation of our success is the working relationship we have with the business owners and leadership teams we partner with. I mean, whats the how are things actually trending right now? That would have been 9.35% in hedge fund fees. 2023 Crescent Capital Investments Crescent raised its first fund in 1992 and has consistently been a leader in the private debt market, focusing on senior secured unitranche securities and junior debt. Use of this website is governed by the Terms and Conditions. And with that, Id like to turn it back to Jason for closing remarks. Crescent Capital Partners General Information. de C.V. (NYSE:VIST) Q4 2022 Earnings Call Transcript, TriMas Corporation (NASDAQ:TRS) Q4 2022 Earnings Call Transcript, Tennant Company (NYSE:TNC) Q4 2022 Earnings Call Transcript. And it means its going to be harder than ever to hold onto any money you make. In addition to equity capital, partnering with Crescent brings access to deep industry expertise and significant strategy and operational support. During this conference call, we may discuss certain non-GAAP measures as defined by SEC Regulation G, such as adjusted net investment income or NII per share. He launched his hedge fund in 1956 with $105,100 in seed capital. The in house depth and breadth of consulting and operating skill sets provides support for portfolio companies to achieve their potential. Information on investments, active portfolio, exits, fund performance, dry powder, team and co-investors for Crescent Capital. All information contained in this website is qualified by the terms of applicable offering documents. We have a diverse portfolio across healthcare, industrial, financial services, technology, education and consumer brands. Get our editors daily picks straight in your inbox! Dan McMahon: Good morning, and welcome to Crescent Capital BDC, Inc.s fourth quarter and year ended December 31, 2022 earnings conference call. Investors in our funds include both domestic and international pension funds and endowments. I believe he will not only run again next year, but could win a 2nd Presidential term and by a LANDSLIDE. The decline relates primarily to unrealized losses we took to reflect wider credit spreads in the market as volatility within the leveraged finance and equity markets continued during the fourth quarter. Crescent has won the M&A Acquisition Finance Deal of the Year 2016 Award in Turkey, which represents the longest tenor fully non-recourse senior debt financing in Turkish renewables together with the first sharia-compliant mezzanine facility in the sector.