Goldman Sachs Asset Management and OMERS, one of Canada’s largest defined benefit pension plans, announced the launch of a separately managed account (“Partnership”) in which OMERS will invest alongside Goldman Sachs in private credit opportunities throughout the Asia Pacific region.

The Partnership will be managed by the Private Credit Asia business within Goldman Sachs Asset Management, with a dedicated on-the-ground team across multiple Asia markets. The Private Credit Asia team sits within the broader Private Credit global team of more than 165 seasoned credit investment professionals overseeing more than $100 billion in assets under management (AUM), drawing on the expertise of the wider platform and resources of Goldman Sachs to source investments and add value to portfolio companies. The Partnership between OMERS and Goldman Sachs strengthens the already deep and longstanding relationship shared by the two firms, now expanding to the Asia region.

The Partnership will aim to deploy in customized private credit solutions to high quality companies and reputable global and regional sponsors throughout the Asia Pacific region. The Partnership is primarily expected to invest in the senior direct lending space, with additional flexibility to invest in mezzanine and/or hybrid opportunities.

Since 1998, Goldman Sachs has invested across multiple APAC markets, including Australia and New Zealand, India, Southeast Asia, China, Korea and Japan. This Partnership marks the first external capital raised for an Asia Pacific focused Private Credit Partnership for Goldman Sachs Alternatives.

James Reynolds, Global Co-Head of Private Credit within Goldman Sachs Asset Management, said: “We are incredibly excited to partner with OMERS and its Global Credit team on the Asia Credit focused Partnership. We see significant demand in the region by companies and sponsors alike, with this mandate we will continue to invest in new opportunities seeking bespoke credit solutions. We believe our differentiated approach through sourcing and our dedicated on-the-ground presence allows us to position ourselves to best identify investment opportunities that drive attractive risk-adjusted returns.

Kal Patel, Executive Vice President and Head of Global Credit at OMERS said: “Private credit remains an attractive area within the credit space globally, and the expansion of our existing relationship with Goldman Sachs into Asia will position us well to further unlock these opportunities. Asia is a growth region for OMERS, and we look forward to working alongside Goldman Sachs to achieve our long-term targets as well as participate in the growth of the direct lending markets in Asia.”

Source: Goldman Sachs