AllianzGI’s Impact Private Credit strategy reaches EUR560mn total commitments at first closing

  • With EUR 560mn commitments received from leading European institutional investors, including Allianz, APG Asset Management, the European Investment Fund (EIF), and La France Mutualiste as anchor investors, AllianzGI’s Impact Private Credit strategy (IPC)1 has reached more than half of its target size within a few months.
  • IPC offers impact direct lending solutions (mostly unitranche) to European SMEs and small to mid-market companies whose core business is to provide solutions to crucial environmental and social challenges.
  • IPC’s investing value proposition is based on AllianzGI’s proprietary impact framework and the funds are classified Article 9 under Sustainable Finance Disclosure Regulation (SFDR).

05.09.2024 | Allianz Global Investors (AllianzGI), one of the world’s leading active investment managers, today announced the first close of its Impact Private Credit (IPC) strategy after securing EUR 560mn total commitments from leading institutional investors including Allianz, APG Asset Management, the European Investment Fund (backed by the European Union’s InvestEU initiative) and La France Mutualiste across two funds2. With these commitments, IPC has rapidly reached more than half of its target size. The funds are classified article 9 under the Sustainable Finance Disclosure regulation (SFDR)3.

Through direct lending instruments, the IPC strategy aims at accompanying the development of impact champions that are providing solutions to societal challenges with a focus on three core themes: climate change, planetary boundaries and inclusive capitalism. Targeted companies - European small to mid-market corporates - seek to offer products or services that have a measurable positive impact on key environmental or social challenges. On the more environmentally focused investments, solutions include clean and efficient energy, resource efficiency, sustainable food and agriculture. On the social side, solutions are oriented around access to quality, accessible and affordable healthcare and education.

The IPC strategy is managed by a team based in London, Zurich and Paris. It is a co-creation between the Development and Impact Credit team headed by Nadia Nikolova and the Impact Strategy team led by Diane Mak. This partnership aims to achieve market-rate financial returns while delivering an ambitious impact investing value proposition based on AllianzGI’s proprietary impact framework. Dedicated impact experts work independently from the investment team to assess investment opportunities for positive, significant and measurable impact4 . IPC will deliver transparent impact and sustainability reporting, accompanied by broader impact management throughout the lifecycle of the investments. Additionally, in collaboration with anchor investors, AllianzGI structured the two funds with an impact-linked performance fee mechanism, linking a proportion of remuneration to the achievement of specific impact targets in addition to the requirement of the financial hurdle being met.

Alexandra Tixier, Lead portfolio manager of IPC commented:
“The first closing of our Impact Private Credit strategy highlights our added value in the current European direct lending market offering, especially for first time funds. Although impact investing through private debt is relatively new, it is gaining momentum due to regulatory changes, next-gen trends and societal pressure to “do good” with investments. As investors increasingly prioritise engagement towards net-zero, more responsible investments and better transparency, impact investing is emerging as a crucial new allocation trend in private debt.

Matt Christensen, Global Head of Sustainable and Impact Investing, remarked:
“ The move from ESG to sustainability to impact is the trend of this decade. Impact investing is growing in waves across private markets, going from private equity in prior years to private credit as of today. For us, Impact is about supporting business models that through their products or services, make a positive, significant and measurable difference by meeting a proven need in society or by creating a clear environmental benefit”.

Edouard Jozan, Head of Distribution Europe added :
“Client interest in impact investing continues to grow and evolve across private markets, expanding from the equity focus in prior years to the credit market of today. Allianz Global Investors is keen to provide its clients with new vehicles focused on investing in solutions addressing environmental and social challenges which also meaningfully integrate impact measurement and management throughout the investment process.”

Marjut Falkstedt, Chief Executive of the EIF commented:
“We are pleased to support this new fund addressing the unique financing needs of impact-driven SMEs, which is aligned with the goals of the EIF and the InvestEU initiative. We are keen on supporting the growth of companies whose products, services, and business practices contribute positively to social and environmental matters. Together we are paving the way for a more sustainable future for all.”

Menno van den Elsaker, Head of Alternative Credits & Marcin Lenart, Expert Portfolio Manager – Alternative Credits at APG Asset Management commented:
“Impact investing within the private credit market is still in its infancy but is developing rapidly. Given the ambitious impact goals of APG’s pension fund clients ABP and bpfBOUW, APG intends to be at the forefront of these developments and to establish leading impact investing practices. With AllianzGI we have found a partner that has one of the most advanced and thorough frameworks for assessing impact in potential private credit investments, ensuring the integrity of impact across the investment lifecycle and proper outcome impact metrics reported to investors”.

AllianzGI offers a broad range of investment solutions and manages around EUR 96bn* in private market assets.

For further information please contact:

Marion Leblanc-Wohrer
Tel +33 6 85 15 74 54
Email: marion.leblancwohrer@allianzgi.com

 

About Allianz Global Investors

Allianz Global Investors is a leading active asset manager with over 600 investment professionals in over 20 offices worldwide and managing EUR 555 billion in assets. We invest for the long term and seek to generate value for clients every step of the way. We do this by being active – in how we partner with clients and anticipate their changing needs, and build solutions based on capabilities across public and private markets. Our focus on protecting and enhancing our clients’ assets leads naturally to a commitment to sustainability to drive positive change. Our goal is to elevate the investment experience for clients, whatever their location or objectives.

*Data as at 30 June. Total assets under management are assets or securities portfolios, valued at current market value, for which Allianz Global Investors companies are responsible vis-á-vis clients for providing discretionary investment management decisions and portfolio management, either directly or via a sub-advisor (these include Allianz Global Investors assets which are now sub-advised by Voya IM since 25 July 2022). This excludes assets for which Allianz Global Investors companies are primarily responsible for administrative services only. Assets under management are managed on behalf of third parties as well as on behalf of the Allianz Group.

About the European Investment Fund (EIF)

The EIF is part of the European Investment Bank Group. Its main mission is to support small and medium-sized European businesses by helping them access financing. It designs and implements venture capital and private equity operations, as well as guarantee and microfinance instruments specifically for SMEs. In this role, the EIF promotes the EU's objectives of supporting innovation, research and development, entrepreneurship, growth and employment.

About InvestEU

The InvestEU program provides the European Union with crucial long-term financing by mobilizing substantial public and private funds for a sustainable recovery. It generates additional investment in line with key European priorities, such as the European Green Pact, the digital transition and SME support. The InvestEU program brings EU financial tools together to support investment by making project financing simpler, more efficient and more flexible. The program comprises three elements: the InvestEU fund, the InvestEU advisory platform and the InvestEU portal. The InvestEU fund is implemented through various financial partners. They will invest in projects using the EU budget guarantee of €26.2 billion, which is intended to mobilize at least €372 billion in additional investment.

About APG

As the largest pension services provider in the Netherlands APG looks after the pensions of 4.6 million participants. APG provides executive consultancy, asset management, pension administration, pension communication and employer services. We work for pension funds and employers in the sectors of education, government, construction, cleaning, housing associations, sheltered employment organizations, medical specialists, and architects. APG manages approximately €577 billion (June 2024) in pension assets. With approximately 4,000 employees we work from Heerlen, Amsterdam, Brussels, New York, Hong Kong, and Singapore. www.apg.nl

1 Private Debt investments are highly illiquid and designed for professional investors pursuing a long-term investment strategy only. This is a marketing communication. Please refer to the information document of the AIF before making any final investment decisions.
2 Composed of a multi-investors fund and a single-investor fund.
3 Impact Private Credit has been classified as an Article 9 under SFDR: EU Sustainable Finance Disclosure Regulation. Information accurate at time of publishing. Investors should take into account all the characteristics and/ or objectives of the fund as described in its legal Fund documentation.
4 https://www.allianzgi.com/en/insights/outlook-and-commentary/investing-for-meaningful-impact-in-private-markets

  • Disclaimer
    For professional investors only, strictly private and confidential solely for the intended recipient. Private debt investments are highly illiquid and designed for professional investors pursuing a long-term investment strategy only
    This document is not a contractually binding document or an information document required by any legislative provision, and is not sufficient to take an investment decision. This is a marketing communication. Please refer to the legal and regulatory documentation of the Fund before making any final investment decisions.
    Target return assumptions may be based on the investment team’s experience with predecessor funds, market participants and other stakeholders of the industry. Actual returns from an investment in the portfolio over any given time horizon may vary significantly from the target return assumptions. Future performance is subject to taxation which depends on the personal situation of each investor and which may change in the future.Target return assumptions may be based on the investment team’s experience with predecessor funds, market participants and other stakeholders of the industry. Actual returns from an investment in the portfolio over any given time horizon may vary significantly from the target return assumptions. Future performance is subject to taxation which depends on the personal situation of each investor and which may change in the future.
    To the extent we express any prognoses or expectations in this document or to make any forward-looking statements, these statements may involve risks. Investments in the Fund entail a high degree of risk and no assurance can be given that the investment objectives will be achieved or that investors will receive a return on their capital. Please refer to Fund legal documentation for a full description of General and Specific Risk Factors.
    Actual results and developments may therefore differ materially from the expectations and assumptions made. On our part, there is no obligation to update target return assumptions and forward-looking statements presented herein. Allianz Global Investors / Allianz Capital Partners may terminate arrangements made for marketing, including by way of de-notification. The Summary of Investor Rights is available in English, French, German, Italian and Spanish at https://regulatory.allianzgi.com/en/investors-rights.

    Investing involves risks. The value of an investment and the income associated with it can go down as well as up. Investors may not get back the full amount invested. Past performance does not predict future returns. If the currency in which the past performance is displayed differs from the currency of the country in which the investor is resident, the investor should be aware that the performance shown may be higher or lower due to exchange rate fluctuations when it enters the local currency of the investor is converted. The views and opinions expressed herein, which are subject to change without notice, are the views and opinions of the issuer and / or affiliates at the time of publication. The data used come from various sources and are believed to be correct and reliable. The terms and conditions of all underlying offers or contracts that have been or will be made or concluded take precedence. This document does not contain any statements about the suitability of the investments described here for the individual circumstances of a recipient.

    For investors in Europe (excluding Switzerland and the United Kingdom) For a free copy of the offering memorandum, subscription documents and the latest annual report, contact Allianz Global Investors GmbH/ Allianz Capital Partners GmbH, either electronically or by mail at the given address. Please read these documents, which are solely binding, carefully before investing. This is a marketing communication issued by Allianz Global Investors GmbH, www.allianzgi.com, an investment company with limited liability, incorporated in Germany, with its registered office at Bockenheimer Landstrasse 42-44, 60323 Frankfurt/M, registered with the local court Frankfurt/M under HRB 9340, authorised by Bundesanstalt für Finanzdienstleistungsaufsicht (http://www.bafin.de ). Allianz Global Investors GmbH has established branches in France, Italy, Spain, Luxembourg, Sweden, Belgium and the Netherlands. Contact details and information on the local regulation are available here (www.allianzgi.com/Info). The Summary of Investor Rights is available in English, French, German, Italian and Spanish at https://regulatory.allianzgi.com/en/investors-rights

    For investors in Switzerland For a free copy of the offering memorandum, subscription documents and the latest annual report contact the issuer either electronically or by mail at the given address. Please read these documents, which are solely binding, carefully before investing. This is a marketing communication issued by Allianz Global Investors (Schweiz) AG, a 100% subsidiary of Allianz Global Investors GmbH.

    For investors in the United Kingdom
    For a free copy of the offering memorandum, subscription documents and the latest annual report, contact the issuer at the address indicated below or regulatory.allianzgi.com. Please read these documents, which are solely binding, carefully before investing. This is a marketing communication issued by Allianz Global Investors UK Limited, 199 Bishopsgate, London, EC2M 3TY, www.allianzglobalinvestors.co.uk . Allianz Global Investors UK Limited, company number 11516839, is authorised and regulated by the Financial Conduct Authority. Details about the extent of our regulation are available from us on request and on the Financial Conduct Authority’s website (www.fca.org.uk). The duplication, publication, or transmission of the contents, irrespective of the form, is not permitted; except for the case of explicit permission by Allianz Global Investors UK Limited.

    Admaster No: 3742005

Allianz Global Investors

You are now leaving the Allianz Global Investors’ website and being redirected to

Welcome to the Allianz Global Investors website dedicated to the United Kingdom

Select Role
  • Adviser & Wealth Manager
  • Individual Investor
  • Institutional Investor
  • You have connected to this site as a “Professional” as defined by MiFID.  To continue, you must have the experience and knowledge required in investment management, particularly regarding the risks involved in accessing this site.

    If you are not a “Professional” client, we invite you to leave this page and reconnect on the “Individuals” page from the Allianz Global Investors website.

    US persons: The information shown on this site is not intended for US citizens, US nationals, or to those US persons such as defined by “Regulation S” of the Securities and Exchange Commission under the Security Act of 1933.

    This site is only intended to provide information on Allianz Global Investors and the products authorised for marketing in the UK.  The information presented on this site does not constitute an offer to sell or subscribe to a financial instrument.

    The views and opinions expressed herein, which are subject to change without notice, are those of the issuer companies at the time of publication. Your access is subject to the UK regulation and to the legal terms and general conditions of access to this site.

    In choosing to access our site, you acknowledge that you understand and accept these conditions.  We advise, for your best interest, to read these conditions carefully.

    Please read the following page carefully before proceeding as it contains important information concerning your use of the website and explains certain legal and regulatory restrictions applicable to any investment in Allianz Global Investors investment products. By pressing ‘Accept’ you agree that you have read and understood the following information.

    The material on this site is directed only at persons in the UK and does not constitute an offer or invitation to buy or sell the funds to persons in any jurisdiction other than the UK.

    Allianz Global Investors (AllianzGI) has taken reasonable care to ensure the accuracy of information available through the site. However, the information may be amended at any time by AllianzGI without notice. As far as it is permitted under the Financial Services and Markets Act 2000, AllianzGI does not accept liability for any loss, direct or indirect, owing to reliance on any information contained herein.

    Opinions expressed whether in general or both on the performance of individual funds and in a wider economic context represent the views of the contributor at the time of preparation. They are subject to change and should not be interpreted as investment advice which AllianzGI is not authorised to give.

    This site may provide links to third party websites over which AllianzGI has no control. These links are provided for your convenience and AllianzGI accepts no responsibility for the content of such websites.

    For your security we may record or randomly monitor all telephone calls.

    A word of warning
    Past performance does not predict future returns. The value of investments and the income from them can go down as well as up and an investor may not get back the amount invested. 

    Exchange rate fluctuations may vary causing the value of overseas investments to go down or up. For your own security any calls may be recorded and randomly monitored.

    For information on any specific risks associated with our funds and products please see our Key Investor Information Documents (KIIDs) and Supplementary Information Documents (SIDs).

    The use of this website is subject to English Law and any dispute will fall under the jurisdiction of the English courts.

    Regulation and Status Disclosure
    Allianz Global Investors represents products and services of Allianz Global Investors UK Limited, www.allianzglobalinvestors.co.uk. Allianz Global Investors UK Limited is an investment company, incorporated in the United Kingdom, with its registered office at 199 Bishopsgate, London, EC2M 3TY. 

    Allianz Global Investors UK Limited, company number 11516839, is authorised and regulated by the Financial Conduct Authority. Details about the extent of our regulation are available from us on request and on the Financial Conduct Authority’s website (www.fca.org.uk). The duplication, publication, or transmission of the contents, irrespective of the form, is not permitted; except for the case of explicit permission by Allianz Global Investors UK Limited.

    Throughout the website Allianz Global Investors UK Limited may sometimes be referred to as Allianz Global Investors or AllianzGI.

    Copyright
    Copyright in this website is owned by Allianz Global Investors UK Limited. The copyrights of third parties are reserved.

    You may download or print a hard copy of individual pages and/or sections of the website, provided that you do not remove any copyright or other proprietary notices. Any downloading or other copying from the website will not transfer title to any software or material to you.

    You may not reproduce (in whole or part), transmit (by electronic means or otherwise), modify, link or use for any public or commercial purpose the website without the prior permission of Allianz Global Investors.

    Cookies
    Allianz Global Investors UK Limited uses session cookies for the purpose of saving data relating to the management of a user session in the memory of the web browser on the user’s computer. By cookie it is meant the small text file that is stored on the hard disk of a computer by the web browser on the said computer. Such file contains information sent by the web server of the Website that a user has visited. The information derived from session cookies enables Allianz Global Investors UK Limited to identify which areas of the Website are seemingly of more interest to users so that it can improve the Website and the information provided to users. The data which is stored via session cookies does not include any private information regarding the user, and is erased as soon as the browser is shut down. It is to be noted that most web browsers are set up in such a way that they automatically accept cookies. Users can, however, amend the configuration of the web browser on their computers so that they are systematically notified of any instance where the Websites that they are about to visit contain cookies.

Please check the checkbox to accept the terms and conditions.