D.E. Shaw Racks Up $1B for Sixth Private Credit Fund

The D. E. Shaw group has raised $1 billion in commitments for D. E. Shaw Alkali Fund VI, a closed-end vehicle that is expected to invest primarily in corporate debt, structured credit, synthetic securitizations, and other specialty asset classes.

External investors who had invested in a previous Alkali vintage contributed more than $500 million, while the firm’s entities, principals, employees, and other investment funds contributed more than $70 million.

The firm launched its first private credit fund in 2008. The Alkali Series, launched in 2012, is a family of closed-end, intermediate-duration investment funds that focus on less-liquid opportunities in credit, credit-related, and other markets. The close of Alkali VI brings aggregate commitments across its fund series to about $3.9 billion.

The predecessor fund, Alkali Fund V, eyed stressed and distressed assets, financings, and special situations opportunities, with investment horizons of up to five years. That vintage also raised about $1 billion in 2021, including more than $100 million from D.E. Shaw’s own entities, principals, and employees, and $450 million from existing investors.

Alkali VI will be managed by co-portfolio managers Rich McKinney, Marianna Fassinotti, and Seth Charnow.