San Juan, PR based direct lender closes its third institutional fund and its first under the SBIC program exceeding the Initial Fundraising Target

San Juan, March 19, 2024 -- Parliament Capital Management (“Parliament”), a San Juan, Puerto Rico based private credit fund manager, today announced the final close of its debut SBIC fund, Parliament SBIC Growth Fund, L.P. ("Fund"). The Fund was oversubscribed, with total commitments of $136.8 million including anticipated leverage from the SBA, exceeding the initial fundraising target by 37%. Having received its license to operate as a U.S. Small Business Administration SBIC (Small Business Investment Company) in November 2022, the Fund will continue the firm's strategy of providing senior secured loans to small and medium sized businesses in underserved, primarily Hispanic and minority markets across the continental US, Puerto Rico, and the US Virgin Islands.

The Fund capitalized on Parliament’s historical track record of over 100 transactions closed and $850MM deployed to gain significant support from a diverse investor base of both existing and new limited partners, including highly regarded foundations, financial institutions, and family offices. Parliament is currently deploying capital from its new fund and has completed transactions in a diverse set of industries including healthcare, education, marine services, engineering and design consulting, and construction materials and services.

"We are very thankful to our investors for the consistent support we have received over the years and specifically in our first licensed SBIC fund, and also welcome our newest limited partners to this important journey” said Rodolfo Sánchez-Colberg, Co-founder and Managing Partner of Parliament Capital Management." This new fund will allow us to continue impacting small businesses across the US, PR and the USVI, that need a flexible and partnership-oriented lender to support their growth, maximize their potential and create meaningful economic impact in the communities where they operate.”

“Since we launched our investment practice in 2014, we have delivered attractive risk-adjusted returns to our investors in spite of significant stressors to our portfolio companies such as category 5 hurricane and the COVID-19 pandemic” said Luis Cabrera-Marín, Co-founder and Managing Partner. “In addition to our rigorous credit underwriting, our seasoned team, which has managed credit portfolios across multiple cycles, has been key to supporting our borrowers in their growth plans and also during periods of financial uncertainty”.

“We expect the growing interest of small businesses to seek private credit to continue, especially as regional and community banks face increasing headwinds from restrictive financial conditions, prospects of an economic slowdown and greater regulatory pressure. These challenges disproportionately impact the communities we support, which are faced with a significant reduction in capital availability. In our view, this represents an opportunity for private credit to step up and provide those small businesses with funding when they need it the most.” added Jose Otero-Freiría, Managing Partner.

About Parliament Capital Management (PCM)

PCM is a minority owned, private credit firm based in San Juan, Puerto Rico specializing in direct lending to small and medium sized businesses as well as other credit opportunities. Since the launch of its investment management practice in 2014, PCM has closed over 100 transactions and $850MM across a variety of industries in the US and Puerto Rico. For more information, please visit https://www.parliamentcapital.com/

Contact: Investor Relations - Parliament Capital Management Investors@parliamentcapital.com (787) 200-9004