Ardonagh Group is considering refinancing its entire debt stack to help finance additional acquisitions, in a deal that would rank among the largest for private credit.
The UK insurance broker is in talks with lenders about refinancing outstanding loans and introducing new acquisition lines, people with knowledge of the matter said. Debt held by Ardonagh totaled more than £3.1 billion ($3.9 billion) as of December 2022, with most maturing in 2026, according to the latest UK filing.
Ardonagh is known for its $1.6 trillion private credit market, securing what would be the largest loan from a group of private credit funds in 2020. In September, Ares provided a direct lending package worth approx. £1 billion to support the sale of its personal insurance business to Markerstudy.
Ardonagh counts HPS Investment Partners and Madison Dearborn Partners as significant shareholders. Spokesmen for both companies declined to comment, while Ardonagh did not immediately respond to a request for comment. The talks with the lenders are ongoing and still do not result in an agreement.
The potential for a jumbo refinancing comes just weeks after private credit funds provided a record €4.5 billion ($4.9 billion) loan to back the purchase of Adevinta ASA.
Photo: Skyscrapers in the Canary Wharf financial, business and shopping district in London, UK, on Tuesday Sept. 26, 2023. Photo credit: Chris J. Ratcliffe/Bloomberg
Copyright 2023 Bloomberg.
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