Marathon AM and Webster Bank collaborate to create private credit joint venture

Private Credit Partnership Between Marathon Asset Management and Webster Financial Corporation

Marathon Asset Management and Webster Financial Corporation have announced a new private credit partnership, joining forces to provide direct lending solutions to sponsor-backed middle market companies. This collaboration brings together Marathon’s expertise in public and private credit markets with Webster Bank’s strong reputation in commercial banking.

With over $23 billion in assets under management, Marathon is a global asset manager known for its investment prowess. On the other hand, Webster Financial Corporation, the holding company for Webster Bank, boasts $76 billion in assets and is based in Stamford, Connecticut.

The joint venture will focus on originating senior secured loans across various industries where both firms have established track records of successful investments. By leveraging their credit expertise and private equity sponsor relationships, the partnership aims to deliver tailored financing solutions to clients.

John Ciulla, chairman and chief executive of Webster Financial Corporation, expressed excitement about the collaboration, stating, “This joint venture allows Webster to better serve and support our clientele, while at the same time diversifying our revenue and realizing a greater portion of our sponsor franchise‚Äôs capabilities.”

Bruce Richards, chief executive and chairman of Marathon, also shared his enthusiasm for the partnership, highlighting the combined strengths of both companies in the middle market lending space. He emphasized the potential for long-term benefits for investors through this strategic alliance.

This partnership is part of a growing trend in the private credit industry, with other firms also forming joint ventures to capitalize on the opportunities presented by this $1.7 trillion market. Eldridge Industries and Raymond James, as well as Barclays and AGL Credit Management, are among the companies that have recently announced similar collaborations.

Overall, the Marathon and Webster Financial partnership represents a significant move in the private credit space, signaling a continued convergence between traditional banks and direct lenders to meet the evolving needs of middle market companies.

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