In a strategic move to fortify its position in the alternative asset management landscape, HarbourView Equity Partners has successfully increased its senior secured credit facility by $100 million, reaching an impressive capacity of $300 million. This announcement made on Monday in a released to WMV underscores HarbourView’s commitment to enhancing its market presence and furthering its strategic initiatives.
The music acquisition company already owns over 26,000 and 45 catalogs including Luis Fonsi‘s “Despacito,” YouTube’s highest streaming song and the first latin song to go Diamond in the US.
The extended credit facility, led by Fifth Third Bank, not only amplifies the firm’s financial capabilities but also reinforces its dedication to delivering optimal results for its expanding Limited Partner (LP) base. HarbourView’s Head of Capital Markets, Carlos Cruz, expressed gratitude to both new and existing financing partners for their unwavering support amid a challenging market environment.
“HarbourView remains committed to providing the best execution for our growing LP base, against a relatively challenging market environment. We are thankful to both our new and existing financing partners for their commitment to HarbourView’s success,” said Cruz.
A notable aspect of this development is the addition of three new lenders to the syndicate. Bank of America joins as a new joint lead arranger, alongside Barclays and First Bank & Trust Company. These financial institutions align with existing lenders—California Bank & Trust, MUFG Bank, Regions Bank, and BankUnited—with Fifth Third Bank retaining its pivotal role as lead arranger, sole bookrunner, and administrative agent.
HarbourView CEO and Founder, Sherrese Clarke Soares, who was a 2022 Billboard Power Woman emphasized the significance of continued backing from banking partners, highlighting their pivotal role in supporting the firm’s remarkable growth trajectory. This move positions HarbourView to seize opportunities and navigate the evolving landscape of capital conditions effectively.
“As capital conditions evolve, we are grateful for the continued support of our banking partners who have helped support HarbourView’s tremendous growth since inception,” said HarbourView CEO and Founder Sherrese Clarke Soares.
Recent IP powered asset acquisitions by HarbourView include include Kane Brown, Pat Benatar and Neil Giraldo, Christine McVie, Wiz Khalifa, and 50% of Nelly‘s stake in his catalog. The company previously purchased Usher‘s share of Justin Bieber‘s catalog for $40M.
Clarke Soares is the daughter of Jamaican immigrants and the company received $1bn from Apollo Global Management to invest in music acquisitions.
“The goal for HarbourView is to be a Private Equity enhancement management firm, focus on the things I know well, which is finance and culture,” Sherrese told World Music Views in an exclusive interview last year.
Prominent acquisitive players include major labels, financial giants such as Blackstone and KKR, and noteworthy entities like Hipgnosis in the U.K. Hipgnosis has been struggling lately to stay afloat but the company had successfully secured over £1 billion in funding to acquire catalogs featuring works from esteemed artists like Neil Young.
