Morgan Stanley closed fundraising for its first corporate mezzanine fund, Morgan Stanley Credit Partners, with $956 million in capital commitments.
The fund, which invests in fixed-income securities issued by midsized corporations, has already invested more than $160 million in five companies, Morgan Stanley said Wednesdayin a statement. The fund will focus on companies in North America and Western Europe, according to the statement.
The fund is part of the firm’s merchant banking business, which includes real estate, private equity and infrastructure funds, and accounts for $24 billion of Morgan Stanley Investment Management’s $273 billion in assets under management.
The fund’s target investment size is $20 million to $50 million, and it may partner with other funds for larger transactions, according to its website.