Sandelman Partners, the $1 billion New York-based multistrategy fund run by former Banc of America Securities executive Jon Sandelman, has sold its first collateralized loan obligation.
The $1.25 billion transaction, aimed at financing the firm's loan business, will provide term financing for up to five years. The deal matches every 17 cents of Sandelman Partners capital with 83 cents of outside investor financing, which Sandelman will use to purchase loans.
Sandelman originally planned a $1 billion offering, but increased the size to $1.25 billion to take advantage of investor demand. BofA Securities, where Sandelman was president and head