OPPORTUNITIES FUND

Following the success of its Income Value Fund launched in August 2019, BMBC introduced the Opportunities Fund in February 2024, designed to capture the extensive range of distressed and special situation lending opportunities available throughout Asia. The Opportunities Fund primarily focuses on investments in the senior part of the capital structure, aiming to provide a secure position with strong risk-adjusted returns. However, the fund retains the flexibility to invest selectively in the junior parts of the capital structure, allowing it to take advantage of unique, high-potential opportunities as they arise.

 

With a strategic approach to navigating complex market environments, the Opportunities Fund is well-positioned to address the growing demand for alternative credit solutions in the region. BMBC’s ultimate goal is to raise US$250 million for the Opportunities Fund, with a near-term objective of securing US$125 million by the end of 2024. This fundraising target will enable the fund to expand its portfolio and further capitalize on the evolving landscape of distressed assets and special situations, leveraging BMBC’s expertise to deliver value for investors.

Invest opportunistically in financially distressed debt or assets, focusing on

 

  • Hard asset values
  • Dependable cash flows
     

Seek to protect the downside by emphasizing:

 

  • Senior or secured debt
  • Tangible underlying value of asset

Negotiation-intensive Pan-Asia opportunity set, largely related to borrowers that:

 

  • are looking for tailored solution that require significant capital, and/or
  • operate in industries that have been severely impacted by COVID-19
     

Publicly traded distressed opportunities

 

 

  • 15 – 20% gross IRR post tax and currency

 

  • Minimum 1.3x Multiple of Invested Capital (MOIC)

 

  • 2-3 years holding period