Marathon Asset Management closes on new distressed fund

Marathon Asset Management LP announced on Jan. 7 the final close of Marathon Distressed Credit Fund, oversubscribed with approximately $2.5 billion in commitments. The fund is targeting a "wide range of situations" including restructurings, debtor-in-possession financings, and exit financings. It anticipates providing capital to enable companies "to grow or reposition their businesses," including companies that are stressed or distressed.

Bruce Richards, Marathon's chairman and chief executive officer, commenting on the recent cyclical economic decline, said that "while the broader market has recovered, the K-shaped recovery has resulted in a disparate impact that requires tailored capital solutions." Louis Hanover, chief investment officer, adds that the long bull market has produced heavily levered companies and "an optimal investment environment to prudently and opportunistically deploy capital."

The investment firm says its team includes 35 professionals supported by an in-house bankruptcy legal team, former restructuring advisors and private equity restructuring professionals.

New York-based Marathon Asset Management, founded in 1998 by Richards and Hanover, has roughly $20 billion of capital under management and over 160 professionals.