HarbourVest Global Private Equity Limited (“HVPE” or the “Company”), a FTSE 250 investment company with global exposure to private companies, managed by HarbourVest Partners, today is pleased to announce that it has secured a new and extended revolving credit facility (“RCF”).

Highlights

• Size increase from $800m to $1.2bn, providing additional working capital headroom and enabling greater flexibility in capital allocation decisions
• Restores credit facility to an optimal size relative to HVPE’s NAV, which has grown strongly since 2019 when the previous facility was put in place
• Highly competitive terms in today’s market, with a commitment fee of 100bps and a drawn margin of 350bps
• Fully committed for a new five-year term ending June 2029

HVPE has secured the new larger credit line to provide an enhanced level of support for its balance sheet, reflecting the strong growth in HVPE’s net assets to $3.9bn. This restores the credit facility to a size equivalent to approximately 30% of NAV, comparable to 2015-2019 levels (e.g. 2019: RCF $600m to c.$2bn NAV). The terms are competitive in today’s market, with a commitment fee of 100 bps and a margin of 350 bps on drawn amounts, with a minimum draw requirement of 40%.

We are pleased to welcome Ares Management Credit funds (“Ares”) and Apollo-managed funds as new syndicate members to join two existing lenders, including Mitsubishi UFJ Trust and Banking Corporation, with the new syndicate demonstrating their confidence in HVPE’s portfolio and business model.

The facility endows HVPE with a stronger working capital position in the near term, enabling increased flexibility in our approach to capital allocation and deployment, and smooth operation of the new Distribution Pool. The Board believes strongly that this will provide a considerable benefit to shareholders through the cycle, consistent with HVPE’s established long-term strategy.

Ed Warner, Chair of HVPE, said:

“We are delighted to secure our new and extended RCF, with both new and existing lenders, on competitive terms. The facility provides HVPE with further flexibility for efficient capital allocation through the cycle, to the benefit of shareholders.”

Below is an interview with Chairman Ed Warner & Managing Director, Richard Hickman