The former head of private markets at Swiss interdealer-broker Tradition has joined a New York-headquartered liquidity-focused firm to oversee the deployment of its dedicated lending strategy.
Dan Nolan joins Warana Capital as a managing director and head of origination, according to a statement shared with Secondaries Investor. He will lead loan origination and will focus on sourcing lending opportunities from both LPs and GPs across North America and Europe.
“The global rising interest rate environment and the recent US regional banking turmoil has created a liquidity crunch in the broader alternative investment fund industry as banks and other traditional lenders step back from a variety of fund related financing activities,” Warana wrote in the statement. The firm believes this provides a “significant opportunity to offer loans and hybrid solutions secured against fund stakes”.
Nolan will work on investing the firm’s dedicated fund that provides loans and preferred equity to GPs and LPs. The fund, which has closed on a non-specified amount, will loan between $5 million and $50 million within the alternatives industry with a specific focus on private equity and hedge funds, according to the statement.
The fund will typically loan over a two to four year period, secured by fund interests, to borrowers who want to fund capital calls, crystalise carried interest, or fast track liquidity for LPs or for executive loans and follow-on capital requirements.
Nolan left Tradition last week after three years at the firm he had joined to lead the launch of its secondaries business, Secondaries Investor reported. Real assets head Michael McKell and private equity head Maulik Patel will run Tradition’s secondaries business as joint leaders.
Warana was founded in 2015 by Tim Ivers, who remains its chief executive. The firm mainly acquires interests in illiquid investment funds, according to its website. It has offices in Los Angeles and Sydney in addition to its headquarters.