Private equity firm HIG purchases Dallas-based CLO manager

Private equity firm HIG Capital has announced that it has taken over Dallas-based manager WhiteHorse Capital to create HIG WhiteHorse. WhiteHorse Capital manages $1.7 billion of capital through five CLOs and a long-only credit hedge fund. The transaction is set to boost HIG’s assets under management to $5.7 billion.

WhiteHorse Capital’s CLOs appear to be performing above the market average. According to CLO-i one of the manager’s most recent deals, WhiteHorse IV, closed in January 2007 and currently has a senior OC cushion of 12.85%, a junior cushion of 4.26% and is comfortably in compliance with all its key tests.