Wendel Finalizes Monroe Capital Acquisition, a Strategic Milestone
Deal News | Mar 31, 2025 | Globenewswire
Wendel has successfully finalized its acquisition of a controlling stake in Monroe Capital LLC, acquiring 72% of its shares, with a potential increase to 75%, marking a significant step in its strategic roadmap. This partnership includes an arrangement with AXA IM Prime and is expected to bolster Wendel’s dual role as a private asset manager alongside its traditional role of investor. The acquisition transaction valued at approximately $1.13 billion includes rights to carried interest and entails an additional earn-out mechanism dependent on achieving specific financial growth targets. The joint effort aims to accelerate Monroe’s growth while facilitating Wendel’s entry into diverse asset classes. Monroe Capital, known for its private credit solutions, particularly across middle markets in North America, brings its robust track record and extensive investor network to strengthen the business model. Wendel's strategy is thereby positioning itself to generate significant future revenues and expose itself to multiple private asset classes.
Sectors
- Private Equity & Venture Capital
- Asset Management
- Financial Services
Geography
- United States – Monroe Capital operates primarily in the US, contributing significantly to the lending landscape in North America.
- France – Wendel, the acquirer, is a French company and a prominent player in the European investment and asset management space.
- United Arab Emirates, South Korea, Australia – Monroe Capital has a global presence with offices in these locations, highlighting its international operational reach.
Industry
- Private Equity & Venture Capital – The acquisition by Wendel is a significant transaction within the Private Equity sector, showcasing strategic expansion and collaboration with prominent partners like AXA IM Prime.
- Asset Management – Wendel's move to acquire Monroe Capital reflects its strategic objective to build a robust asset management platform, managing diverse classes of private assets.
- Financial Services – Monroe Capital's role as a private credit provider, focusing on middle market lending, positions it within the broader Financial Services industry.
Financials
- 1.13 billion USD – The amount invested by Wendel to acquire a 72% stake in Monroe Capital.
- 255 million USD – The maximum earn-out contingent on future financial performance.
- 34 billion EUR – The estimated asset platform managed by Wendel post-acquisition.
- 800 million USD – The planned commitment towards future fund raises aimed at growing Monroe Capital.
- 200 million USD – Investment commitments from the General Partner to support Monroe's growth.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Wendel | Bidding Company | Company | Wendel is a leading European investment firm, expanding its asset management capabilities through strategic acquisitions. |
| Monroe Capital LLC | Target Company | Company | Monroe Capital is a US-based private credit asset management firm, specializing in middle market lending and other financial solutions. |
| AXA IM Prime | Other Company | Company | AXA IM Prime is involved as a minority partner in the transaction, collaboratively working with Wendel on this acquisition. |
| Bonaccord Capital Partners | Selling Company | Company | Bonaccord Capital Partners was a minority shareholder in Monroe Capital, participating in the stake investment sell-off. |
| UBS | Financial Advisor | Company | UBS served as the exclusive financial advisor to Wendel for this transaction. |
| Kirkland & Ellis LLP | Legal Advisor | Company | Provided legal advisory services to Wendel in completing the acquisition of Monroe Capital. |
| Goldman Sachs & Co. LLC | Financial Advisor | Company | Acted as exclusive financial advisor for Monroe Capital during the acquisition process. |