Carlyle has $74bn in dry powder to deploy

This is an increase from $69bn in the previous quarter, as new fundraising in investment solutions, global credit and real assets outpaced the firm-wide capital deployment in Q1 2020.

In its quarterly financial results, Carlyle said the majority of this capital was recently raised, and that it could afford to be patient and disciplined.

It also reported that it had $1bn in cash on its balance sheet, including $250m from drawing down on a revolving credit facility.

The GP announced that its fundraising might be badly affected by the Covid-19 emergency. "Our fundraising is likely to slow down in the short term as investors try to understand the current environment and their own specific needs," said Kewsong Lee, a member of the board of directors.

Carlyle said that while LPs assess the impact of the Covid-19 crisis on their portfolios and evaluate the denominator impact, allocation targets and liquidity, their pace of new commitments will slow down. 

However, it said some LPs would be more aggressive about continuing to lean into alternatives, and there will be opportunities to raise capital for tactical strategies in the near term to take advantage of dislocations.

Carlyle reported a loss of $612m for the first quarter of 2020. The firm also announced that "given the very high level of uncertainty for the rest of 2020", it was withdrawing its prior financial guidance and will refrain from providing comprehensive guidance for the future. 

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Send to  

• Topics
• GPs
• coronavirus
• Carlyle Group
• US