Davidson Kempner Announces Close of Income Fund II at Over $1.1 Billion

Second Vintage of Global Asset-Backed 
Private Credit Fund Series Exceeds Fundraising Target

NEW YORK, Jan. 8, 2026 /PRNewswire/ -- Davidson Kempner Capital Management LP ("Davidson Kempner"), a global investment management firm, today announced the final close of its Davidson Kempner Income Fund II ("DK Income Fund II" or the "Fund"), the Firm's global asset-backed private credit fund series, bringing aggregate capital commitments to the strategy (including related separate accounts) to over $1.1 billion.  

With a flexible and opportunistic mandate, DK Income Fund II is an asset-based lending, closed-end private credit fund focused on building a stable, income-producing credit portfolio across a range of sectors and geographies. Targeting sectors underpinned by secular, long-term trends and favorable industry and collateral dynamics, the Fund invests across structured residential, corporate, specialty finance and hard asset-backed loans, with a strong emphasis on downside protection. The Fund builds upon the track record of its approximately $750 million first vintage, DK Income Fund I, which has invested approximately $1.4 billion as of September 30, 2025.

"We believe that DK Income Fund II fills a niche demand for diversified private credit exposure and enables us to take advantage of the diverse, global opportunity set in the current market environment," said Tony Yoseloff, Managing Partner and Chief Investment Officer at Davidson Kempner. "In our view, the Fund's structure and flexible mandate allows us to be highly selective, pursuing opportunities that focus on a stable return profile combined with significant upside potential for our investors."

Mr. Yoseloff continued, "This is a strong fundraising outcome for our global asset-backed private credit fund series.  We view the positive outcome as a testament to our global sourcing network, local market knowledge, flexible solutions and reputation as a trusted counterparty in the marketplace."

DK Income Fund II is co-managed by Mr. Yoseloff, Patrick Dennis, Co-Deputy Managing Partner, and Chris Krishanthan, Partner and Head of European and Asian Corporates, who have worked together for over 15 years. They are supported by a global team of investment professionals with deep experience in structured products, corporates and real estate across the U.S., Europe and Asia.

"Building on the success of our first Income Fund, we are pleased to announce the final close of DK Income Fund II, which could not have been accomplished without leveraging the knowledge, experiences and resources of our global team," said Mr. Dennis. "We are now committed to using our strong, extensive sourcing platform to identify compelling investment opportunities in our core areas of focus."

"The successful close of this Fund underscores the growing demand for tailored credit solutions amongst differentiated borrowers," said Mr. Krishanthan. "We believe we are well positioned within this current environment to support different borrower needs through thoughtful sourcing, credit underwriting and structuring."

About Davidson Kempner Capital Management

Davidson Kempner Capital Management LP is a global investment management firm with over 40 years of experience and a focus on fundamental investing with a multi-strategy approach. Davidson Kempner has more than $37 billion in assets under management and around 500 employees across eight offices: New York, Philadelphia, London, Dublin, Hong Kong, Shenzhen, Mumbai and Abu Dhabi. Additional information is available at: www.davidsonkempner.com. 

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SOURCE Davidson Kempner