The Epsilon Direct Lending Senior Loan Fund
About Epsilon Direct Lending
Epsilon Direct Lending is an Australian based non-bank corporate lender and private markets investment manager focused on providing funding solutions to performing, Australian and New Zealand middle market companies that are looking to expand and grow.
THE EPSILON DIRECT LENDING SENIOR LOAN FUND
The bespoke nature of the bilateral private loans provided by the Fund to middle market companies presents investors with the opportunity to diversify away from other debt investments and access attractive, predictable recurring cash income, with a capital preservation focus that is not correlated to other fixed income and alternatives exposures.
Summary Fund Terms1
| Structure: | Australian-domiciled unregistered unit trust |
|---|---|
| Fund Terms: | Open-ended |
| Trustee & Custodian: | Evolution Trustees Limited |
| Status: | Open for investment (monthly applications) |
| Eligibility: | Wholesale investors only |
| Total Target Return2: | BBSW + 4.5% p.a. (net) |
| Liquidity: | The Manager will undertake to maintain a cash (or equivalent liquid investments) holding of at least 10% of NTV at all times (Liquidity Buffer) to meet limited redemptions. Redemption Requests to be made on 30 days written notice to the Trustee prior to calendar month end. The Trustee may accept or reject a Redemption Request in its absolute discretion. Where a Redemption Request has been accepted by the Trustee, redemption proceeds must be paid within 30 days. Redemptions will bear an exit fee of 0.5% of the redemption price. |
| Fees: | 0.75% p.a. (ex GST) on Net Trust Value with upfront loan fees and other ancillary fees paid to the Fund.
Performance fee: 20% of returns above a hurdle of BBSW + 2.75% |
| Service Providers: | Alter Domus Australia Pty Ltd (Administrator), MinterEllison (Legal & Tax), S&P Global (Loans Administrator) and KPMG (Audit) |
Fund Highlights3
- Capital preservation strategy that aims to provide investors with recurring income, capital preservation and low correlation to other asset classes.
- Monthly redemptions are available subject to liquidity terms.
- Bilateral loan focus providing investors with the potential for the highest returns, greater control & flexibility.
- Investment opportunities are directly sourced from a large & growing market segment that is underserved.
- Investment Team with a proven track record, applying a rigorous credit due diligence and robust investment process with hands-on portfolio management.
How to Invest?
Applications for the Epsilon Direct Lending Fund are now being taken. The fund is designed for institutional and wholesale investors only.
For all enquiries and to obtain a copy of the Fund Information Memorandum, please contact any of the Founding Partners here or email us at investors@epsilondl.com.au.
Staying Connected
We regularly provide insights and perspectives on the private credit market and what is happening within the Fund. You can follow Epsilon by subscribing to Epsilon Direct Lending on LinkedIn.