The transaction allows AE Industrial to retain its investment in a defense components distributor, while providing fresh capital for organic growth and potential acquisitions.
The $109 billion Canadian pension fund joins Lunate-backed Axight as a minority shareholder after the latter acquired a 27% stake from Brookfield earlier this year.
Last year, AEA's private debt platform completed its first continuation vehicle, a roughly $550 million transaction led by Carlyle AlpInvest.
GIC is reportedly a prospective investor in the continuation fund, which values the South Korean gas manufacturer at $3.18 billion, up 13.5% from 2023.
CEO Michael Arougheti expects more institutional credit portfolios to come to market over the next two years as investors reposition their holdings.
