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Sycamore Tree Capital Partners Closes Eighth CLO at $504 Million

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The Fund marks the Firm’s fourteenth transaction to date and fourth consecutive new issue larger than $500 million

Sycamore Tree Capital Partners, L.P. (“Sycamore Tree” or the “Firm”), a specialist asset manager with private and alternative credit investment expertise, today announced the closing of its eighth collateralized loan obligation, STCP 2026-8 (“STCP CLO 8” or the “Fund”), a $504 million vehicle investing in the broadly syndicated loans of U.S. companies.

STCP CLO 8 is structured with a five-year investment period, a two-year non-call provision and a triple A tranche spread of SOFR1 plus 125 bps. The Fund marks Sycamore Tree’s fourth consecutive CLO issued at $500 million or larger, and its third fund designed to comply with European risk retention regulations. It is also the third new issue completed with participation from Sycamore Tree CLO Fund II, L.P., reflecting the continued progression of the Firm’s CLO platform and participation from a global institutional investor base.

“We appreciate the continued support of our investor relationships, partnering with us on STCP CLO 8,” commented Paul Travers, Partner and Portfolio Manager at Sycamore Tree.

Scott Farrell, Partner and Head of Structured Credit added, “We’re delighted to have partnered with Bank of America on this transaction and look forward to building this relationship in the future.”

Jon Poglitsch, Partner and Head of Credit Research observed, “Our experienced team capitalized on loan market volatility to deploy capital at attractive relative value, and the Fund is largely invested at close. Our approach remains grounded in fundamental credit research and a consistent focus on portfolio quality and capital preservation.”

About Sycamore Tree Capital Partners, L.P.

Sycamore Tree is a value-oriented, durable-alpha investment firm specializing in alternative credit. Founded by industry veterans Mark Okada, Trey Parker, and Jack Yang, the Firm has deep experience across economic and market cycles. Headquartered in Dallas, TX, with an office in New York City, the firm’s expertise includes bank loans, high yield bonds, structured credit, and credit secondaries. For additional information, please visit www.sycamorelp.com.

Forward Looking Statements

The information in this release contains forward-looking statements within the meaning of U.S. federal securities laws. Forward-looking statements are statements regarding our future and are not historical facts, which may be stated or may be implied. These forward-looking statements are based on our current understanding of European risk retention regulations as we continue to increase the Firm’s presence in the European market. Risks relating to the Fund are set forth in greater detail in the applicable private placement memoranda. How we as a firm and how the Fund performs may vary materially from those expressed or implied in these forward-looking statements.

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1 SOFR - Secured Overnight Financing Rate. A benchmark interest rate published daily by the Federal Reserve Bank of New York, based on the cost of overnight loans backed by U.S. Treasury securities.

 

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