Capital One’s unitranche loan program, ULTra, closed approximately $1.1 billion in commitments to borrowers in the healthcare and services industries in 2018.

The program, with HPS Investment Partners as its strategic co-investor, helps borrowers obtain first lien unitranche loans without a rating agency or a syndication process, thus providing clients with fast and reliable financing.

“We continue to see growing interest in this type of financing from companies in a variety of industries,” said Earl Smith, head of Strategic Investments Group for Capital One Commercial Banking. “In this dynamic environment, a seamless, one-stop financing solution can give private equity sponsors and borrowers a significant advantage.”

A unitranche loan blends senior and junior debt pricing and terms into a single first lien debt facility, rather than creating two classes of debt and coordinating among multiple lenders. This approach increases certainty of execution, and borrowers benefit from the simplicity of managing a single credit facility.