Oaktree Closes Record $16 Billion Distressed-Debt Fund

Oaktree Capital Management has closed a $16 billion fund, the largest in its history and the largest distressed-debt fund ever raised. The fund will back cash-constrained companies in various industries. This significant new pool of money will allow Oaktree to invest in more opportunities and potentially play a major role in restructuring efforts.

Oaktree Capital Management, a renowned leader in the world of finance and economics, has recently announced the successful closure of its largest fund to date, Oaktree Opportunities Fund XI [1]. With a total capital commitment of $15.9 billion, the fund surpasses Oaktree's initial target of $15 billion.

This significant new pool of money will enable Oaktree to invest in a diverse range of opportunities, primarily focusing on cash-constrained companies across various industries [1]. By providing capital solutions to borrowers with limited access to funding, investing in out-of-favor industries, and creating platforms with superior management teams, Oaktree aims to play a major role in restructuring efforts [1].

Oaktree's expertise in opportunistic credit dates back to its inception over 25 years ago. Initially known as "Distressed Opportunities," the Global Opportunities strategy has since evolved and expanded its mandate to include more geographies and a more flexible approach [1]. This shift in strategy has allowed Oaktree to capitalize on opportunities in markets that look vastly different from those present 25 years ago.

The success of Oaktree Opportunities Fund XI serves as a testament to Oaktree's ability to navigate and invest through economic cycles. Bruce Karsh, Co-Chairman and Chief Investment Officer of Oaktree, expressed his gratitude to investors for their confidence in the team [1].

References:
[1] Business Wire. (2021, November 16). Oaktree Capital Management Closes Opportunities Fund XI at $16 Billion. https://www.businesswire.com/news/home/20211116005913/en/