Business & Industry
Set 1, 2015
Funding your business
Lone Star Funds is a leading private equity firm that invests globally in real estate, equity, credit and other financial assets. Since the establishment of its first fund in 1995, Lone Star has organized fifteen private equity funds with aggregate capital commitments totaling approximately USD$60 billion.
The Funds are structured as closed-end, private-equity limited partnerships, the limited partners of which include corporate and public pension funds, sovereign wealth funds, university endowments, foundations, fund of funds and high net worth individuals. The Funds are advised by Lone Star Global Acquisitions, Ltd. (LSGA), an investment adviser registered with the U.S. Securities and Exchange Commission. LSGA and its global subsidiaries advise the Funds from offices in North America, Western Europe and East Asia.
Since the establishment of the first Fund in 1995, Lone Star has organized fifteen private equity funds with aggregate capital commitments totaling approximately $60 billion.
In seeking investments in financial assets, an extensive background with these asset types is critical to accurately underwrite financial and collateral asset values and develop corresponding pricing. Lone Star has vast transactional experience, having closed approximately 430 investments in over 1,200 transactions at an aggregate purchase price of approximately USD$143 billion (including acquisition financing and co-investors).
Global Origination Network
Lone Star sources investments on a global basis and evaluates potential investment opportunities that fall within the Funds' investment parameters. Lone Star has been actively investing in North America, Europe and East Asia for over a decade, which serves as a major competitive advantage when sourcing investment opportunities. Further, because of its access to large amounts of capital, Lone Star can focus particularly on larger scale transactions in which the potential list of buyers is often limited, maximizing the possibility of achieving the most attractive acquisition terms.
Since its inception in 1995, Hudson Advisors LLC and its global subsidiaries (collectively, "Hudson") have been dedicated to the support of the Funds' investment activities globally, providing due diligence and analysis, asset management and other support services.
Hudson provides due diligence and analysis, asset management and other support services to the Funds globally and is a full-service asset management company with approximately 850 employees worldwide. Hudson has advised the Funds with respect to approximately 870,000 assets with an aggregate purchase price of approximately USD$143 billion (including acquisition financing and co-investors) since 1995.
During its evaluation of investment opportunities, Lone Star utilizes Hudson's extensive knowledge of global market pricing obtained through oversight of asset liquidations. Lone Star also benefits from specialty management companies, owned by a Fund or Funds, including Caliber Home Loans, Inc. (a combination of the companies previously known as Vericrest Financial, Inc. and Caliber Funding LLC), a full-service mortgage company and special servicer that provides a full complement of services in connection with the acquisition of single family residential whole loans in the U.S. Hudson maintains strategic oversight with respect to such platforms.
LStar Capital ("LStar") is a credit affiliate of Lone Star that provides both corporate and commercial real estate lending expertise. Performing loans funded or purchased for the Funds by Lone Star are underwritten and managed by the LStar team.
The LStar team has the underwriting expertise to provide access to debt across the capital structure with a focus on second lien, secured last-out, and mezzanine solutions, along with equity co-investments. LStar's industry depth and creativity offers a one-stop source of financing and confidence in execution.
Commercial Real Estate
Through its commercial real estate lending division, LStar also provides access to flexible debt capital to underserved non-primary commercial real estate markets. LStar's ability to underwrite and asset manage / conduct surveillance on large volumes of loans is a distinct competitive advantage. The LStar team has deep in-house knowledge with small balance loans in non-primary markets across the United States. LStar targets small balance whole loans, mezzanine, b-notes, DPO / rescue financing, and transitional / value-add lending.