GSC Partners, a private investment firm specializing in credit-based alternative investment strategies, announced the formation of GSC Capital Corp., a Real Estate Investment Trust (REIT).
The new REIT will invest in real estate-related securities, whole loan mortgages, bank loans, corporate loans and other asset-backed securities. In addition, GSC Capital Corp. will utilize structured financing techniques which are intended to mitigate interest rate risks and achieve attractive term financing. Deutsche Bank Securities served as sole underwriter for the 144A offering, comprised of approximately $100 million of equity and $100 million of convertible debt. GSC Partners co-invested $17 million pro rata in the equity and convertible debt.
GSC Capital Corp. will leverage the investment and operational expertise of GSC Partners, its outside manager, which also manages other funds specializing in complex credit transactions in control distressed debt investing, corporate credit, European mezzanine lending and structured finance.