BlackRock declined to comment on the former employees' assertion. Clients of both firms will benefit from this powerful combination, which will result in enhanced scale and a broader origination network. BlackRock Inc. and Tennenbaum Capital Partners, LLC announced a definitive agreement under which BlackRock will acquire TCP, a leading manager focused on middle market performing credit and special situation credit opportunities. This list was first published in 2020. The team builds actively managed portfolios for clients who want diversified exposure to private-market investments. He is currently Co-Head and Investment Committee Chair of BlackRocks US Private Capital team. For more information, please visit:www.tennenbaumcapital.com and www.tcpcapital.com. enhance our ability to serve clients and borrowers. asset manager and advances its goal of providing clients with a diverse His role was formally expanded to include the role of deputy head of BlackRock Alternatives last fall. plans and augments our position as a leading credit asset manager. In connection with the transaction, the Company's name was changed from TCP Capital Corp. to BlackRock TCP Capital Corp. "It's not to say that the private credit market is easy to manage talent. Today, Black BlackRock, Inc. (NYSE: BLK) has completed its acquisition of Cachematrix, a leading provider of financial technology which simplifies the 2023 BlackRock, Inc. All rights reserved. and U.S. and European middle market credit, including the acquisition of Tennenbaum Capital Partners in 2018. . expand our combined resources. When typing in this field, a list of search results will appear and be automatically updated as you type. visit www.blackrock.com companies. He left and joined Wells Fargo, where he was named head of banking in the corporate and investment bank in May. Forward-looking statements are made as of the date of this press release, and are subject to change without notice. portfolio allocation and risk, said David Blumer, Global Head of Longtime BlackRock executive David Giordano leads the alternatives unit's investments in climate-related infrastructure globally, with responsibility for investment strategy and managing the organization. Meet BlackRock's Alternative-Investments Execs Driving Growth in . BlackRock executives said in a memo announcing McKenna's appointment in 2014 that there were still many untapped opportunities in the hedge fund space, like event-driven investing, Bloomberg reported at the time. Raj Vig will assume the role of Chief Executive Officer on August 5, 2021, and Chairman on September 30, 2021. It also manages a publicly-traded business development company, TCP Capital Corp. (NASDAQ:TCPC). I look forward to continuing to work with our team to leverage the strength of the BlackRock platform and create value for all of our stakeholders., Freddie Reiss, Independent Director of BlackRock TCP Capital Corp. said, On behalf of our entire Board of Directors, I want to thank Howard Levkowitz for his leadership and vision as well as his many contributions to the company over the years. The financial impact of the transaction is not material to BlackRock BlackRock Investor Relations strategy, and products. Tennenbaum Capital Partners, LLC ("TCP") is a leading alternative investment management firm founded in 1999 (its predecessor entity commenced operations in 1996) with a proven track . Subscriber Benefit. This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Chan is also chair of the alternative solutions investment committee and sits on the executive committee of BlackRock Alternatives. BlackRock TCP Capital Corp. (NASDAQ: TCPC) is a specialty finance company focused on direct lending to middle-market companies as well as small businesses. Howard and Raj built TCPC into a top-performing BDC with an impressive track record of consistently delivering strong shareholder returns. TCP brings significant experience in middle market performing credit and This transition in leadership follows BlackRocks highly successful 2018 acquisition of Tennenbaum Capital Partners (TCP) that solidified BlackRock as a leading private credit manager. Mr. Donohue was a Managing Director at Tennenbaum Capital Partners (TCP) when it was acquired by BlackRock in 2018. So-called alternatives, those assets such as infrastructure and private equity meant for sophisticated investors, make up just 3% of the nearly $9 trillion of assets that BlackRock manages. Michael E. Tennenbaum is the founder of Caribbean Capital & Consultancy Corp., a Puerto Rico-based private merchant bank that seeks to make active investments. For additional information on BlackRock, please He is an investment professional focused on the direct lending and special situations credit strategies. Tennenbaum Capital Partners, LLC is a large advisory firm based in Santa Monica. 310-899-4948 BlackRock agreed to acquire Tennenbaum Capital Partners, which focuses on credit and special situations.Tennenbaum partners Lee Landrum, Michael Leitner, Howard Levkowitz, Philip Tseng and Rajneesh Vig will stay on as part of the acquisition.Tennenbaum is expected to become a wholly owned subsidiary of BlackRock and, pending approval, will remain the investment adviser for TCP Capital Corp. Dickon Pinner joined BlackRock last year to run a new unit in BlackRock Alternatives called Transition Capital, a team aimed at investing in opportunities tied to the energy transition. BlackRocks Global Credit team now manages more than $90 billion in "We are pleased to welcome Karyn to our board of directors," said Howard Levkowitz, Chairman and CEO of BlackRock TCP Capital Corp. "Karyn has established an impressive track record and we look forward to leveraging her deep experience to advance our long-standing commitment to delivering superior risk adjusted returns to our shareholders.". Insider has pinpointed the key people responsible for the alternatives business today. The combination with BlackRock couples TCP's longstanding experience and strong track record in private credit origination and underwriting with BlackRock's credit expertise, brand, and global scope, providing the Company with access to greater resources to provide a more complete solution to middle market companies. Forward-looking statements involve risks and uncertainties in predicting future results and conditions. They contribute just 11% of base fees. | Blog: www.blackrockblog.com He joined BlackRock in 2017 when the firm acquired funds from First Reserve, a private-equity firm that invests exclusively in the energy sector. Chouman has said he sees two dimensions to Aladdin's future growth: clients demanding a more sophisticated, all-encompassing view of their alternative assets, and the business' operations in an increasingly complex area where different models are intertwined. Tcp Direct Lending Fund Viii, LLC is a private equity fund operated by Tennenbaum Capital Partners, Llc and has approximately $190 million in assets. Shares of NASDAQ TCPC opened at $11.72 on Wednesday. 5 Competitive Advantages of BlackRock Global Credit Expertise $105 billion(1) in AUM across credit "The office of the COO is where we crystallize our strategy and how we execute day-to-day and in the longer term," Conway said in a memo to staff announcing Smith's appointment in 2021, Insider previously reported. As a fiduciary BlackRock said when it acquired TCP that a "key element" of the deal was TCP's senior management team including Leitner, Levkowitz, Tseng, and Vig sticking around. about the opportunity to be a part of building what we are confident Apr 17, 2018, 07:40 ET. | Twitter: @blackrock This is TCP's third CLO issuance in the past 12 months. "BlackRock is great at raising low-fee capital ETFs, mutual funds. To ensure the most secure and best overall experience on our website we recommend the latest versions of, Internet Explorer is no longer supported. "At the end of 2021, we had over twice the amount of committed capital from investors in our direct lending business as we did at the end of 2018.". Read more Show less. Florian reports to Anne Valentine Andrews. BlackRock Inc. (NYSE: BLK) and Tennenbaum Capital Partners, LLC (TCP) pioneered nearly two decades ago. Keenan is also the interim chief executive of BlackRock Capital Investment Corporation, a business-development company that's common across private-credit investors. BlackRock's leases on East 52nd Street expire in April. Diorio is the head of product for BlackRock's crucial US wealth advisory business, which links the firm's vast menu of funds with the large forces of financial advisors, private bankers, and others in the wealth management industry who invest in products like exchange-traded funds and alternative funds. Presently, Philip M. Tseng occupies the position of President & Chief Operating Officer of Blackrock TCP Capital Corp., Managing Director at Tennenbaum Capital Partners LLC and Managing Partner at Tennenbaum Capital Partners (Private Equity). BlackRock formed its capital markets team in 2020 with Patry at the helm, bringing together the businesses for global capital markets and private capital markets, the industry news publication PE Hub reported. Howard Levkowitz, who co-founded TCP in 1999; Mark Kronfeld, who was global head of restructuring in BlackRock's private credit group; and former TCP finance chief Paul Davis all left last year. Investment manager BlackRock has closed the acquisition of Tennenbaum Capital Partners (TCP), a US-based private credit manager. People knew Tennenbaum was being overpaid relative to BlackRock standards.". At BlackRock Inc., we promise to treat your data with respect and will not share your information with any third party. He is responsible for overseeing investment strategy, performance, risk management, and other aspects of the business. They could get taken away and hired by another company that wants to enter the space," Sondhelm said. and www.tcpcapital.com. BlackRock TCP Capital Corp. also announced today that Karyn L. Williams has been appointed to its board of directors as an independent director. Global Credit platform presents a unique and compelling opportunity to "He helped move BlackRock in a new direction, laying a cornerstone for BlackRock Alternatives and the important solutions that our clients would need.". BlackRock announced Tuesday evening that it had agreed to acquire Tennenbaum Capital Partners, a $9 billion asset manager focused on direct lending and special situation credit opportunities. client assets across multi-strategy credit, leveraged finance, and After submitting your request, you will receive an activation email to the requested email address. Actual results could differ materially from those projected in these forward-looking statements due to a variety of factors, including, without limitation, changes in general economic conditions or changes in the conditions of the industries in which the Company makes investments, risks associated with the availability and terms of financing, changes in interest rates, availability of transactions, and regulatory changes. The business now has $34 billion of dry powder to invest. currently serves as the investment adviser of TCP Capital Corp. (NASDAQ: Another person said: "BlackRock doesn't pay that well. BlackRock is better known for its low-cost exchange-traded funds than its alternative assets prowess. She was previously the global head of investments for PEP. committed client capital as of December 31, 2017. All of TCP's partners signed employment agreements and were expected to join BlackRock, while TCP anticipated that all of its more than 80 employees would move to the money manager, a May 2018 presentation TCP provided to a public pension investor shows. BlackRock helps investors build better financial futures. Previously, she was Head of Client Solutions at Two Sigma Advisors. The acquisition augments BlackRock's . His previous roles include running BlackRock's trading and liquidity strategies group for the international regions of EMEA and the Asia Pacific. But when it comes to performance fees those that BlackRock earns for generating strong returns for clients, and last year accounted for $514 million they have an outsized impact. Upon completion of the BlackRock helps investors build better financial futures. in Economics and a Ph.D. in Finance. Raj and Phil have been instrumental in the growth of the US Private Capital team at BlackRock and are well equipped to continue to build on TCPCs successful track record of delivering strong results for shareholders. solutions for clients, Complementary acquisition assures continuity of TCP leadership, Its headcount has grown 70%, to some 60 investment staff since its acquisition of TCP, according to a person familiar with the firm. Forward-looking statements are made as of the date of this press release, and are subject to change without notice. Aug 01, 2018, 08:48 ET. Ms. Williams is the Founder of Hightree Group, an independent advisory business in the institutional investor market that is focused on providing clients with straightforward, cost-effective, and unconflicted advice on governance and policy. New York, NY 10055-0003 "There are other opportunities right now. Brent Patry is key to steering BlackRock alternatives as deputy head of the overall business, reporting to Edwin Conway. Tennenbaum Capital Partners ("TCP") is a Los Angeles-based alternative investment management firm focused on performing credit and special situations for middle-market companies. We are also excited (800) 903-8567, BlackRock Completes Acquisition of Tennenbaum Capital Partners, https://www.businesswire.com/news/home/20180801005501/en/. Mr. Levkowitz was also Chairman and CEO of . REUTERS/Brendan McDermid/File Photo. Indeed, the string of exits and tensions within the private credit business grew so untenable that BlackRock president and cofounder Rob Kapito stepped in to try to smooth over frustrations in the group and stem the outflow of talent, said four former BlackRock employees, who spoke to Insider under the condition of anonymity. He cofounded McKinsey's efforts around clean technologies and worked as a reservoir engineer in the oil and gas industry. in Economics and a Ph.D. in Finance. Since its founding Like Baranski and Steenberg, Seeg joined the firm through its 2006 acquisition of Merrill Lynch Investment Management. BlackRock Completes Acquisition of Tennenbaum Capital Partners. focused on delivering a range of products and innovative solutions for Around 90 TCP employees will migrate to BlackRock as part of the deal and retain management of TCP products, including the investments of business development company TCP Capital. investment objectives across a range of risks, liquidity, and Clients of both firms will benefit from this powerful NEW YORK--(BUSINESS WIRE)--BlackRock, Inc. (NYSE:BLK) has completed the acquisition of Tennenbaum our business as we continue to employ the successful strategy we BlackRock's August 2018 acquisition of Tennenbaum Capital . Our combination with BlackRock will provide TCPC with increased resources, scale, and market access to continue to build on our long track record in middle market performing credit and to enhance long-term value for our clients and shareholders., Michael Leitner, a Managing Partner of TCP, said, Joining BlackRocks Global Credit platform presents a unique and compelling opportunity to expand our combined resources. "Investors vote with their wallets. Strengthens BlackRock's credit platform to provide more diverse range of solutions for clients Complementary acquisition assures continuity of TCP leadership, strategy, and products BlackRock Inc. (NYSE: BLK) and Tennenbaum Capital Partners, LLC ("TCP") today announced a definitive agreement under which BlackRock will acquire TCP, a leading manager focused on middle market performing . Forward-looking statements are based on estimates, projections, beliefs and assumptions of management of the Company at the time of such statements and are not guarantees of future performance. in-demand moment for the private credit market, big traditional asset managers are going after. Our combination with BlackRock will The TCP Rainier CLO issue follows its TCP Waterman CLO refinancing and TCP Whitney CLO issuance. New York, NY 10055-0003 police officer relieved of duty. Strengthens BlackRocks credit platform to provide more diverse range of origination network, and a premium and expanded set of private credit in 1999, TCP has invested approximately $22 billion in over 560 His appointment was seen as another move to bulk up BlackRock's alternatives business. private credit with a combined platform of more than 200 employees today announced a definitive agreement under which BlackRock will View source version on businesswire.com: Prior to TCP, Mr. Donohue held various roles within GE Capital's Media and Telecom group from 2000 to 2006. globally. BlackRock wants to build a larger private credit business to expand fee generation and offer clients more than just passive products. Andr Bourbonnais heads up BlackRock's Long Term Private Capital, a direct private equity strategy that focuses on control investments in companies in North America and Europe. Prospective investors considering an investment in BlackRock TCP Capital Corp. should consider the investment objectives, risks and expenses of the Company carefully before investing. Howard Levkowitz, a Managing Partner of TCP and Chairman and CEO of TCP Capital Corp., said, We are excited about the growth opportunities for our business as we continue to employ the successful strategy we pioneered nearly two decades ago. Certain factors that could cause actual results to differ materially from those contained in the forward-looking statements are included in the Risk Factors section of the Companys Form 10-K for the year ended December 31, 2020, and the Companys subsequent periodic filings with the SEC. private credit with a combined platform of more than 200 employees Still, in recent years management has made it clear that its private investment capabilities need to be an important engine of growth. The acquisition augments BlackRocks position as a leading global credit asset manager and advances its goal of providing clients with a diverse range of alternative investment products and solutions to meet their evolving needs. NEW YORK, April 17, 2018 /PRNewswire/ -- BlackRock Inc. (NYSE: BLK) and Tennenbaum Capital Partners, LLC ('TCP') today announced a definitive agre. Senior-level members of the TCP investment team, at the principal level and above, were offered four- or five-year retention packages, one of the former BlackRock employees told Insider. team, including all five partners (Lee Landrum, Michael Leitner, Howard Smith joined the firm in 2004 and was named co-head of the business alongside the group's cofounder Bryan White in 2015, Bloomberg News reported at the time. Terms were not disclosed. The transaction adds around $9bn in assets to BlackRocks books. Previously, he co-founded Tennenbaum Capital Partners, a leading specialty credit investor. Tarek Mahmoud runs multi-alternative solutions where BlackRock advises clients investing in various types of alternative assets and chairs the Europe, Middle East, and Africa region for BlackRock Alternatives. He was named global head of BlackRock Alternatives in April 2019 when the alternatives business was restructured in a way executives hoped would improve growth, according to reports at the time. Phone Number 310.566.1000. to our clients, we provide the investment and technology solutions they A key element of the transaction is the continuity of TCPs successful senior management team, including all five partners (Lee Landrum, Michael Leitner, Howard Levkowitz, Philip Tseng, and Rajneesh Vig). need when planning for their most important goals. Sign up for notifications from Insider! Levkowitz, Philip Tseng, and Rajneesh Vig). He currently serves on the Board of Directors of Real Mex Restaurants, EuroSeas, EuroDry and Blue Wall Shipping. Jonathan Diorio is key to distributing alternatives products and getting them in front of clients. Prospective investors considering an investment in BlackRock TCP Capital Corp. should consider the investment objectives, risks and expenses of the Company carefully before investing. Keenan sits on several senior committees within BlackRock, including the global operating committee and the executive committee of BlackRock Alternatives. Ms. Williams will serve on the Audit Committee, the Governance and Compensation Committee, and the Joint Transactions Committee. | Blog: www.blackrockblog.com This information and other information about the Company are available in the Company's filings with the Securities and Exchange Commission ("SEC"). origination network, and a premium and expanded set of private credit Upon completion of the transaction, TCP is expected to become a wholly-owned subsidiary of BlackRock and, pending the approval of TCP Capital Corp.s shareholders, remain the investment adviser of TCP Capital Corp. Current members of the TCP team will continue to be responsible for the investments of TCP Capital Corp. and continue to focus on executing the same proven investment strategies and process as they have since TCP Capital Corp.s inception. SANTA MONICA, Calif., Jan. 25, 2018 /PRNewswire/ -- Tennenbaum Capital Partners, LLC ("TCP" or the "Firm"), a leading alternative investment management firm, announced today the closing of its $300 million TCP Rainier CLO. In recent months, three BlackRock investment professionals who moved to the firm in the TCP deal have left. The presentation, which was published online by the pension, also said that incentive or retention packages were to be offered to TCP investment team members. BlackRock has prioritized growing its $320 billion alternative business in recent years, with a focus on private market investing. Copies are available on the SEC's website at www.sec.gov and the Company's website at http://www.tcpcapital.com. biogen senior engineer ii salary. Prior to co-founding TCP in 1996, Mr. Holdsworth worked as an investment banker and in real estate. If you experience any issues with this process, please contact us for further assistance. TCPC is a publicly-traded business development company, or BDC, regulated under the Investment Company Act of 1940 and is externally managed by its advisor, Tennenbaum Capital Partners, LLC, a leading alternative investment manager. Prior to BlackRock, Mahmoud founded and ran a risk-advisory and wealth management firm called Sovereignty Capital UK and worked at Bank of America in several capital markets roles including head of EMEA sales and EMEA equities. He was previously responsible for the institutional client business, or ICB, for Europe, the Middle East, and Africa and was global head of the ICB's financial institutions group. You can sign up for additional alert options at any time. The acquisition will help both the companies to expand their offerings to their clients. The company has no duty and does not undertake any obligation to update or revise any forward-looking statements based on the occurrence of future events, the receipt of new information, or otherwise. Relations:Tom Wojcik, 212-810-8127Tom.Wojcik@BlackRock.com, Internet Explorer presents a security risk. The stakes are high. The acquisition is the next step in BlackRocks efforts to expand its Seeg was previously PEP's global head of client solutions and strategy. New. Clients of both firms will benefit from enhanced scale, a broader origination network, and a premium and expanded set of private credit capabilities, Blackrock said in a statement. invrel@blackrock.com, BlackRock Funds, Services and Capabilities Anne Valentine Andrews oversees the alternatives unit's infrastructure and real estate investments. The capital-markets executive Brent Patry's role was expanded last fall to include the role of deputy head of alternatives. For additional information on BlackRock, please Having worked closely with Raj Vig over the years as TCPCs President and COO, we have tremendous confidence in Raj to build upon TCPCs success.. "Over time, it became clear that BlackRock wanted Tennenbaum to only focus on direct lending, rather than distressed and special situations investing," one of the former employees told Insider. BlackRock and will continue to be responsible for managing TCP products, liquidity and geography. Posted on 04/18/2018. The acquisition augments BlackRock's position as a leading global credit asset manager and advances its goal of providing clients with a diverse range of alternative investment . Prospective investors should read these materials carefully before investing. That is the ultimate validation, or not, of success performance and fundraising," Vig said. SVOF/MM, LLC ("SVOF/MM"), Tennenbaum Opportunities Partners V, LP, Tennenbaum Opportunities Fund V, LLC, Tennenbaum Heartland Co-Invest, LP, SEB DIP Investor, LP, Special Forward-looking statements involve risks and uncertainties in predicting future results and conditions. LTPC, as it's known, is the majority owner of companies including Authentic Brands the owner of Aeropostale, Juicy Couture, and Reebok and luxury fragrance brand Creed. These are two important areas to BlackRock, particularly because of the firm's view that the Inflation Reduction Act in the US is expected to increase investments in infrastructure-related projects and real estate investors will find new opportunities amid shifting office and work-from-home dynamics. | LinkedIn: www.linkedin.com/company/blackrock. Forward-looking statements involve risks and uncertainties in predicting future results and conditions. We are also excited about the opportunity to be a part of building what we are confident will be the premier business of its kind., We are focused on building a private credit business that seizes on long-term secular trends to deliver for clients the best results across risk spectrums and market cycles, said James Keenan, Global Co-Head of Credit at BlackRock. TCPC is managed by BlackRock, which . The Company's shareholders will benefit from enhanced scale, a broader origination network, and a premium and expanded set of private credit capabilities. TCP is headquartered in Los Angeles with additional offices in Atlanta, New York and San Francisco.