What We Do - Sixth Street

What We Do

Overview

With approximately $47 billion in AUM and more than 275 team members in nine global locations, Sixth Street has a track record of providing differentiated, creative solutions to companies and management teams around the world. Our eight diversified, collaborative investment platforms and flexible, long-term capital base allow us to invest thematically and without constraints across sectors, geographies and asset classes.

Our Investment Platforms

TAO has the flexibility to invest across Sixth Street’s investment platforms while also serving as home for between the box strategies and other adjacent opportunities.  TAO’s structure aligns our “One Team” cultural philosophy and cross-platform mentality. TAO allows us to be both nimble in small and reliable in large transactions, to make both medium and long term-oriented investments, and to be active in any capital context.

 

Featured Investment

Caris Life Sciences

In 2018, Sixth Street provided $150 million in growth capital to Caris Life Sciences, a leading innovator in molecular science developing the next generation of precision oncology. Sixth Street made the investment because of the value creation potential of Caris’s tumor profiling capabilities. The custom investment structure provided Caris with capital for growth while limiting the dilution of the company’s equity.

Featured Investment

Life Sciences

In 2018, Sixth Street provided $150 million in growth capital to Caris Life Sciences, a leading innovator in molecular science developing the next generation of precision oncology. Sixth Street made the investment because of the value creation potential of Caris’s tumor profiling capabilities. The custom investment structure provided Caris with capital for growth while limiting the dilution of the company’s equity.

Sixth Street Growth makes customized, non-control private investments in growth-oriented companies. The Growth team partners with companies and management teams to provide bespoke, accretive financing solutions that often fall between traditional growth equity and commercial debt. Sixth Street has invested over $4 billion in more than 40 growth-oriented companies in our Growth strategy since inception in 2009.

Sixth Street Growth

Featured Investment

AvidXchange

Sixth Street first invested in AvidXchange in 2015 and in 2020 helped recapitalized the business by leading a $260 million equity capital raise giving the company a reported $2 billion valuation. AvidXchange has been a prime example of one of Sixth Street’ long- term themes of investing in payments, and in particular B2B payments systems. Our flexible capital solutions have allowed us to continue to invest in the company across the different stages of its growth.

Sixth Street Specialty Lending focuses on providing flexible, fully committed financing solutions to middle market companies. The expertise of our seasoned team across the US, UK and Europe enables us to provide a diversity of capital structure solutions tailored to the unique needs of companies and management teams.

US Specialty Lending EUR Specialty Lending

Featured Investment

Kyriba

In 2019, we provided financing in support of UK-based Bridgepoint’s acquisition of San Diego-based treasury management software provider Kyriba in a transaction reportedly valued at $1.2 billion. Kyriba is an example of our thematic focus on treasury management software and ability to partner with financial sponsors as they support industry leading companies.

Our Opportunities business works with companies and management teams on actively managed situations where we can deliver value and/or improve outcomes through our operating and servicing expertise. We leverage our stable, flexible capital base and the knowledge and asset underwriting experience of the entire Sixth Street team to create differentiated transactions, often partnering with companies and asset owners experiencing idiosyncratic capital constraints or with a complex financing issue that requires a tailored solution.

Featured Investment

Credit Suisse Bills Portfolio

In 2016, Sixth Street purchased a portfolio of over 200 corporate securities from Credit Suisse in a transaction valued at $1.27 billion. Sixth Street deployed over fifty team members in a short period of time to quickly and efficiently underwrite the entire sector- ranging portfolio. The activation of the full capability of the Sixth Street platform provided Credit Suisse’s management team with transaction certainty as it successfully executed on its corporate asset divestment strategy in time for its next quarterly earnings report

Sixth Street Credit Market Strategies (CMS) invests in the broadly syndicated leveraged loan and structured credit markets through a variety of investment structures, including CLO securitization vehicles and separately managed accounts.

Sixth Street Structured Credit offers investors diversified portfolios of CLO debt and equity securities.

 

 

Featured Investment

Structured Credit

Our Structured Credit business offers investors diversified portfolios of CLO debt and equity securities.

Sixth Street Infrastructure provides creative, customized solutions to companies and for assets in the global infrastructure and renewable energy spaces.  The Infrastructure team primarily focuses on debt, equity, and structured investments.  Investments include, but are not limited to, solar, wind, hydroelectric power, conventional power, midstream, and social infrastructure.

Featured Investment

Wind Farm Portfolios

Sixth Street created a structured partnership to invest in a portfolio of over twenty wind farms located across the United States generating more than 3,300MW of renewable power. Sixth Street leveraged its Infrastructure team’s long experience investing in the wind energy sector and knowledge of renewable financing structures to execute on its theme of attractive US renewable assets in a maturing sector.

Sixth Street Agriculture seeks to make long-term investments in yielding agriculture assets. Our seasoned team develops themes and partners with local farm operators to execute on its investment strategy while seeking to utilize the latest advances in sustainable farming and efficient land use.

Featured Investment

Organic Conversion

In 2018, Sixth Street entered into a strategic partnership with General Mills to convert 34,000 acres of conventional farmland to certified organic acreage to grow wheat and other rotational crops. General Mills will use wheat grown on the farm to make Annie’s pasta products, including its signature Mac and Cheese. The project is advancing regenerative soil health practices and creating 3,000 acres of pollinator habitat in a unique and ambitious large-scale conversion project.

Sixth Street Fundamental Strategies is our platform focused on identifying and investing in thematic dislocations in public markets. We leverage the underwriting and sector expertise of the entire Sixth Street platform to develop themes in public markets and incubate and rotate to new opportunities as markets evolve.

Featured Investment

Skillsoft

Sixth Street invested in the public debt of eLearning software company Skillsoft in 2015 as the Skillsoft attempted to vertically integrate recently acquired content provider SumTotal. Sixth Street leveraged the knowledge accumulated by the over 100 software investments made across our platform since inception and deep understanding of the education technology sector to form a differentiated view on the company’s secular tailwinds and product value.

TAO

TAO has the flexibility to invest across Sixth Street’s investment platforms while also serving as home for between the box strategies and other adjacent opportunities.  TAO’s structure aligns our “One Team” cultural philosophy and cross-platform mentality. TAO allows us to be both nimble in small and reliable in large transactions, to make both medium and long term-oriented investments, and to be active in any capital context.

 

Featured Investment

Caris Life Sciences

In 2018, Sixth Street provided $150 million in growth capital to Caris Life Sciences, a leading innovator in molecular science developing the next generation of precision oncology. Sixth Street made the investment because of the value creation potential of Caris’s tumor profiling capabilities. The custom investment structure provided Caris with capital for growth while limiting the dilution of the company’s equity.

Featured Investment

Life Sciences

In 2018, Sixth Street provided $150 million in growth capital to Caris Life Sciences, a leading innovator in molecular science developing the next generation of precision oncology. Sixth Street made the investment because of the value creation potential of Caris’s tumor profiling capabilities. The custom investment structure provided Caris with capital for growth while limiting the dilution of the company’s equity.

Growth

Sixth Street Growth makes customized, non-control private investments in growth-oriented companies. The Growth team partners with companies and management teams to provide bespoke, accretive financing solutions that often fall between traditional growth equity and commercial debt. Sixth Street has invested over $4 billion in more than 40 growth-oriented companies in our Growth strategy since inception in 2009.

Sixth Street Growth

Featured Investment

AvidXchange

Sixth Street first invested in AvidXchange in 2015 and in 2020 helped recapitalized the business by leading a $260 million equity capital raise giving the company a reported $2 billion valuation. AvidXchange has been a prime example of one of Sixth Street’ long- term themes of investing in payments, and in particular B2B payments systems. Our flexible capital solutions have allowed us to continue to invest in the company across the different stages of its growth.

Specialty Lending

Sixth Street Specialty Lending focuses on providing flexible, fully committed financing solutions to middle market companies. The expertise of our seasoned team across the US, UK and Europe enables us to provide a diversity of capital structure solutions tailored to the unique needs of companies and management teams.

US Specialty Lending EUR Specialty Lending

Featured Investment

Kyriba

In 2019, we provided financing in support of UK-based Bridgepoint’s acquisition of San Diego-based treasury management software provider Kyriba in a transaction reportedly valued at $1.2 billion. Kyriba is an example of our thematic focus on treasury management software and ability to partner with financial sponsors as they support industry leading companies.

Opportunities

Our Opportunities business works with companies and management teams on actively managed situations where we can deliver value and/or improve outcomes through our operating and servicing expertise. We leverage our stable, flexible capital base and the knowledge and asset underwriting experience of the entire Sixth Street team to create differentiated transactions, often partnering with companies and asset owners experiencing idiosyncratic capital constraints or with a complex financing issue that requires a tailored solution.

Featured Investment

Credit Suisse Bills Portfolio

In 2016, Sixth Street purchased a portfolio of over 200 corporate securities from Credit Suisse in a transaction valued at $1.27 billion. Sixth Street deployed over fifty team members in a short period of time to quickly and efficiently underwrite the entire sector- ranging portfolio. The activation of the full capability of the Sixth Street platform provided Credit Suisse’s management team with transaction certainty as it successfully executed on its corporate asset divestment strategy in time for its next quarterly earnings report

Credit Market Strategies

Sixth Street Credit Market Strategies (CMS) invests in the broadly syndicated leveraged loan and structured credit markets through a variety of investment structures, including CLO securitization vehicles and separately managed accounts.

Sixth Street Structured Credit offers investors diversified portfolios of CLO debt and equity securities.

 

 

Featured Investment

Structured Credit

Our Structured Credit business offers investors diversified portfolios of CLO debt and equity securities.

Infrastructure

Sixth Street Infrastructure provides creative, customized solutions to companies and for assets in the global infrastructure and renewable energy spaces.  The Infrastructure team primarily focuses on debt, equity, and structured investments.  Investments include, but are not limited to, solar, wind, hydroelectric power, conventional power, midstream, and social infrastructure.

Featured Investment

Wind Farm Portfolios

Sixth Street created a structured partnership to invest in a portfolio of over twenty wind farms located across the United States generating more than 3,300MW of renewable power. Sixth Street leveraged its Infrastructure team’s long experience investing in the wind energy sector and knowledge of renewable financing structures to execute on its theme of attractive US renewable assets in a maturing sector.

Agriculture

Sixth Street Agriculture seeks to make long-term investments in yielding agriculture assets. Our seasoned team develops themes and partners with local farm operators to execute on its investment strategy while seeking to utilize the latest advances in sustainable farming and efficient land use.

Featured Investment

Organic Conversion

In 2018, Sixth Street entered into a strategic partnership with General Mills to convert 34,000 acres of conventional farmland to certified organic acreage to grow wheat and other rotational crops. General Mills will use wheat grown on the farm to make Annie’s pasta products, including its signature Mac and Cheese. The project is advancing regenerative soil health practices and creating 3,000 acres of pollinator habitat in a unique and ambitious large-scale conversion project.

Fundamental Strategies

Sixth Street Fundamental Strategies is our platform focused on identifying and investing in thematic dislocations in public markets. We leverage the underwriting and sector expertise of the entire Sixth Street platform to develop themes in public markets and incubate and rotate to new opportunities as markets evolve.

Featured Investment

Skillsoft

Sixth Street invested in the public debt of eLearning software company Skillsoft in 2015 as the Skillsoft attempted to vertically integrate recently acquired content provider SumTotal. Sixth Street leveraged the knowledge accumulated by the over 100 software investments made across our platform since inception and deep understanding of the education technology sector to form a differentiated view on the company’s secular tailwinds and product value.

Sector Expertise

Since its founding in 2009, Sixth Street has invested capital and created financing solutions across a wide range of industry verticals. Our platform’s deep sector capabilities and team of seasoned experts allow us to provide value beyond capital to the companies and management teams with whom we partner.

Business Services Consumer and Internet Energy Healthcare & Life Sciences Real Estate Renewables Retail Software and Technology Telecom and Media