Oaktree closes Special Situations Fund III with $3b; 30% increase from Fund II

Oaktree Capital Management has successfully concluded its third Special Situations fund, Special Situations Fund III, and related vehicles, amassing an impressive $3 billion in total capital commitments—surpassing its $2.5 billion target and boasting a 30% increase from Special Situations Fund II. This achievement reflects Oaktree's prowess in the private equity landscape.

Employing a versatile approach, Oaktree's Special Situations strategy targets control or significant-influence-oriented investments in middle-market companies facing temporary challenges, stress, distress, or exploring alternatives to traditional capital markets. The strategy, blending expertise in credit and private equity, aims to deliver private-equity-like returns with credit-like risk, forming an all-weather investment approach.

Geared primarily towards North America, the fund spans diverse industries such as consumer products, gaming, industrials, healthcare, media/entertainment, business and financial services, and food & beverage. The fund has already allocated roughly one-third of its capital to a diversified array of opportunities across sectors, showcasing Oaktree's strategic and agile investment approach.