Carlyle’s $4.1 Billion ESG-Linked Credit Facility

Latham & Watkins LLP represented Carlyle in the transaction, while Cadwalader represented Bank of America, as Administrative Agent and Sole Lead Arranger.Global investment firm The Carlyle Group has secured the largest ESG-linked private equity credit facility in the US for US$4.1 billion and the first to focus exclusively on advancing board diversity.

Carlyle structured this revolving credit facility for its Americas corporate private equity funds, with the price of debt directly tied to the firm’s previously set goal of having 30% diverse directors on the boards of Carlyle controlled companies within two years of ownership.

The facility is led by Bank of America and backed by a consortium of leading global financial institutions.

The Carlyle Group (NASDAQ: CG) is a global investment firm with deep industry expertise that deploys private capital across three business segments: Global Private Equity, Global Credit and Investment Solutions. With $246 billion of assets under management as of December 31, 2020, Carlyle’s purpose is to invest wisely and create value on behalf of its investors, portfolio companies and the communities in which we live and invest.

Latham & Watkins LLP represented Carlyle in the transaction with a finance team led by Washington, D.C. partner Manu Gayatrinath (Picture), Global Chair of the Private Equity Finance Practice, and Washington, D.C. partner Ben Berman, with associates Donald Cooley, Maggie Wilder, Alison Morris, and Sarah Cunningham. Advice was also provided on tax matters by Washington, D.C. partner Andrea Ramezan-Jackson; and on ERISA matters by Washington, D.C. partner David Della Rocca.

Cadwalader represented Bank of America with a team led by partner Wesley A. Misson.

Involved fees earner: Wesley Misson – Cadwalader Wickersham & Taft; Benjamin Berman – Latham & Watkins; Donald Cooley – Latham & Watkins; Sarah Cunningham – Latham & Watkins; David Della Rocca – Latham & Watkins; Manu Gayatrinath – Latham & Watkins; Alison Morris – Latham & Watkins; Andrea Ramezan-Jackson – Latham & Watkins; Maggie Wilder – Latham & Watkins;

Law Firms: Cadwalader Wickersham & Taft; Latham & Watkins;

Clients: Bank of America; The Carlyle Group;

Author: Martina Bellini