Final purchase price of the mosaic, reflecting a $ 13 million discount on the repurchase option price
CHICAGO, June 23, 2021 (GLOBAL) – GCM Grosvenor (Nasdaq: GCMG) (the “Company”), a global provider of alternative asset management solutions, today announced a successful increase in the size of its existing $ 110 term principal loan. million. The net proceeds will be used to repurchase certain fund investments and future carry rights associated with Mosaic (collectively the “Mosaic Assets”). GCM Grosvenor was able to get a $ 13 million rebate off the purchase price.
The Company has provided a notice to exercise an option to repurchase Mosaic Assets at an estimated net purchase price of $ 163 million, including an agreed discount of $ 13 million (the “Deal”). Based on values as of March 31, 2021.oneGCM Grosvenor will repurchase $ 238 million in assets consisting of $ 87 million in direct investment in its funds and $ 150 million in unrealized reflected interest. In addition, GCM Grosvenor will acquire the rights to additional future salary-related participation interests in the amount of US $ 423 million. Mosaic’s assets generated realized recognized interest income of US $ 14.7 million for the twelve months ended March 31, 2021 and realized investment income of US $ 1.5 million for the same period.
The Transaction is expected to close on July 2, 2021 and will be funded by a combination of the balance sheet cash and net proceeds from the additional Term Loan.
About GCM Grosvenor
GCM Grosvenor (Nasdaq: GCMG) is a global provider of alternative asset management solutions with nearly $ 65 billion in assets under management, including private equity, infrastructure, real estate, lending strategies and absolute return on investment strategies. The firm has been in business for 50 years and aims to provide clients with growing classes of alternative investment assets.
GCM Grosvenor’s experienced team of approximately 500 professionals serves a global client base of institutional and high net worth investors. The company is headquartered in Chicago with offices in New York, Los Angeles, Toronto, London, Tokyo, Hong Kong and Seoul. For more information, please visit: www.gcmgrosvenor.com…
This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the use of Term Loan proceeds and the closing of a Transaction. These forward-looking statements are usually denoted by the words “believe”, “design”, “expect”, “assume”, “estimate”, “intend”, “strategy”, “future”, “opportunity”, “plan,”. “Maybe”, “should”, “will”, “would” and similar expressions. Forward-looking statements are forecasts, forecasts and other statements about future events based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including, but not limited to, the historical performance of GCM Grosvenor funds may not be indicative of GCM Grosvenor’s future results; risks associated with the repayment and termination of obligations; the impact of the COVID-19 pandemic on GCM Grosvenor’s business; the variable nature of GCM Grosvenor’s earnings; competition in the GCM Grosvenor industry; the consequences of government regulation or non-compliance; market, geopolitical and economic conditions; identification and availability of suitable investment opportunities; risks associated with our internal control over financial reporting; and the risks associated with GCM Grosvenor’s investment performance. You should carefully consider the above factors, as well as other risks and uncertainties described in the Risk Factors sections of the annual 10-K / A report filed by GCM Grosvenor Inc. May 10, 2021, and her other documents filed in the United States. Security and Exchange Commission. These documents identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements are valid only as of the date they are made. Readers are advised not to rely unduly on forward-looking statements and GCM Grosvenor assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Source: GCM Grosvenor
Contact information for public shareholders
one Mosaic’s asset values are subject to change based on intermediate cash flows and changes in value between 31 March 2021 and the actual date of the transaction.