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Borrowings
 3 Months Ended
Mar. 31, 2025
Debt Disclosure [Abstract]  
Borrowings 6. Borrowings
The Company borrows and enters into credit agreements for its general operating and investment purposes. The
Company’s debt obligations consist of the following:
 
March 31, 2025
December 31, 2024
 
Borrowing
Outstanding
Carrying
Value
Borrowing
Outstanding
Carrying
Value
(Dollars in millions)
CLO Borrowings  (See below)
$309.1
$300.4
$289.4
$288.0
3.500% Senior Notes Due 9/19/2029
425.0
423.0
425.0
422.9
5.625% Senior Notes Due 3/30/2043
600.0
600.5
600.0
600.5
5.650% Senior Notes Due 9/15/2048
350.0
346.6
350.0
346.6
4.625% Subordinated Notes Due 5/15/2061
500.0
485.6
500.0
485.5
Total debt obligations
$2,184.1
$2,156.1
$2,164.4
$2,143.5
Senior Credit Facility
As of March 31, 2025, the senior credit facility included $1.0 billion in a revolving credit facility. The Company’s
borrowing capacity is subject to the ability of the financial institutions in the banking syndicate to fulfill their respective
obligations under the revolving credit facility. The revolving credit facility is scheduled to mature on April 29, 2027, and
principal amounts outstanding under the revolving credit facility accrue interest, at the option of the borrowers, either (a) at an
alternate base rate plus an applicable margin not to exceed 0.50% per annum, or (b) at SOFR (or similar benchmark rate for
non-U.S. dollar borrowings) plus a 0.10% adjustment and an applicable margin not to exceed 1.50% per annum (at March 31,
2025, the interest rate was 5.42%). The Company made no borrowings under the revolving credit facility during the three
months ended March 31, 2025 and 2024, and there was no amount outstanding as of March 31, 2025.
Global Credit Revolving Credit Facility
Certain subsidiaries of the Company are parties to a revolving line of credit, primarily intended to support certain lending
activities within the Global Credit segment. As currently amended, the Global Credit Revolving Credit Facility provides for a
revolving line of credit with a capacity of $300 million, which matures in September 2027, and a second revolving line of credit
with a capacity of $200 million, which matures in August 2025. The Company’s borrowing capacity is subject to the ability of
the financial institutions in the banking syndicate to fulfill their respective obligations under the Global Credit Revolving Credit
Facility. Principal amounts outstanding accrue interest at applicable SOFR or Eurocurrency rates plus an applicable margin of
2.00% or an alternate base rate plus an applicable margin of 1.00%. During the three months ended March 31, 2025 and 2024,
the Company made no borrowings under the Global Credit Revolving Credit Facility. As of March 31, 2025, there was no
borrowing outstanding under the Global Credit Revolving Credit Facility.
CLO Borrowings
For certain of the Company’s CLOs, the Company finances a portion of its investment in the CLOs through the proceeds
received from term loans and other financing arrangements with financial institutions. The Company’s outstanding CLO
borrowings consist of the following (Dollars in millions):
Formation Date
Borrowing
Outstanding
March 31, 2025
Borrowing
Outstanding
December 31, 2024
Maturity Date (1)
Interest Rate as of
March 31, 2025
February 28, 2017
$21.7
$23.5
September 21, 2029
5.20%
(2)
December 6, 2017
21.5
25.5
January 15, 2031
6.11%
(3)
March 15, 2019
1.8
1.7
March 15, 2032
10.61%
(4)
August 20, 2019
3.9
3.7
August 15, 2032
7.29%
(4)
September 15, 2020
19.2
18.4
April 15, 2033
4.37%
(4)
January 8, 2021
20.1
19.2
January 15, 2034
5.28%
(4)
March 30, 2021
16.9
16.5
March 15, 2032
4.24%
(4)
April 21, 2021
3.5
3.3
April 15, 2033
8.63%
(4)
May 21, 2021
10.2
11.6
November 17, 2031
3.98%
(4)
June 4, 2021
20.2
19.4
January 16, 2034
5.06%
(4)
June 10, 2021
1.3
1.2
November 17, 2031
5.41%
(4)
July 15, 2021
15.1
14.5
July 15, 2034
5.08%
(4)
July 20, 2021
20.2
19.3
July 20, 2031
5.02%
(4)
August 4, 2021
15.8
15.6
August 15, 2032
4.31%
(4)
October 27, 2021
23.5
22.5
October 15, 2035
5.19%
(4)
January 6, 2022
20.3
19.4
February 15, 2035
4.94%
(4)
February 22, 2022
20.3
19.5
November 10, 2035
4.99%
(4)
September 5, 2023
—
5.1
August 28, 2031
N/A
(5)
April 25, 2024
18.0
17.2
April 25, 2037
5.55%
(4)
December 19, 2024
15.3
12.3
January 15, 2039
5.39%
(4)
March 10, 2025
20.3
—
April 15, 2028
4.88%
(4)
$309.1
$289.4
(1)Maturity date is earlier of date indicated or the date that the CLO is dissolved.
(2)Incurs interest at EURIBOR plus applicable margins as defined in the agreement.
(3)Incurs interest at SOFR plus 1.81%.
(4)Incurs interest at the average effective interest rate of each class of purchased securities plus 0.50% spread percentage.
(5)Term loan was fully repaid during the three months ended March 31, 2025.
The CLO term loans are secured by the Company’s investments in the respective CLO, have a general unsecured interest
in the Carlyle entity that manages the CLO, and generally do not have recourse to any other Carlyle entity. Interest expense for
the three months ended March 31, 2025 and 2024 was $3.8 million and $6.8 million, respectively. The fair value of the
outstanding balance of the CLO term loans at March 31, 2025 approximated par value based on current market rates for similar
debt instruments. These CLO term loans are classified as Level III within the fair value hierarchy.
European CLO Financing - February 28, 2017
A subsidiary of the Company is a party to a financing agreement with several financial institutions. As of March 31,
2025, the financing agreement provided the Company with a term loan of €20.0 million ($21.7 million at March 31, 2025). This
term loan is secured by the Company’s investments in the retained notes in certain European CLOs that were formed in 2014
and 2015. This term loan will mature on the earlier of September 21, 2029 or the date that the certain European CLO retained
notes have been redeemed. The Company may prepay the term loan in whole or in part at any time. Interest on this term loan
accrues at EURIBOR plus applicable margins (5.20% at March 31, 2025).
Master Credit Agreement - Term Loans
The Company assumed liabilities under master credit agreements previously entered into by CBAM under which a
financial institution provided term loans to CBAM for the purchase of eligible interests in CLOs. Term loans issued under these
master credit agreements are secured by the Company’s investment in the respective CLO as well as any senior management
fee and subordinated management fee payable by each CLO. Term loans generally bear interest at SOFR plus a weighted
average spread over SOFR on the CLO notes, which is due quarterly. As of March 31, 2025, term loans under these agreements
had $21.5 million outstanding. The master credit agreement matures in January 2031.
CLO Repurchase Agreements
On February 5, 2019, the Company entered into a master credit facility agreement (the “Carlyle CLO Financing Facility”)
to finance a portion of the risk retention investments in certain European CLOs managed by the Company. Each transaction
entered into under the Carlyle CLO Financing Facility will bear interest at a rate based on the weighted average effective
interest rate of each class of securities that have been sold plus a spread to be agreed upon by the parties. As of March 31, 2025,
€182.5 million ($197.3 million) was outstanding under the Carlyle CLO Financing Facility. Additional borrowings may be
made on terms agreed upon by the Company and the counterparty subject to the terms and conditions of the Carlyle CLO
Financing Facility.
Each transaction entered into under the CLO Financing Facility provides for payment netting and, in the case of a default
or similar event with respect to the counterparty to the CLO Financing Facility, provides for netting across transactions.
Generally, upon a counterparty default, the Company can terminate all transactions under the CLO Financing Facility and offset
amounts it owes in respect of any one transaction against collateral, if any, or other amounts it has received in respect of any
other transactions under the CLO Financing Facility; provided, however, that in the case of certain defaults, the Company may
only be able to terminate and offset solely with respect to the transaction affected by the default. During the term of a
transaction entered into under the CLO Financing Facility, the Company will deliver cash or additional securities acceptable to
the counterparty if the securities sold are in default. Upon termination of a transaction, the Company will repurchase the
previously sold securities from the counterparty at a previously determined repurchase price. The CLO Financing Facility may
be terminated at any time upon certain defaults or circumstances agreed upon by the parties.
The Repurchase Agreements may result in credit exposure in the event the counterparty to the transaction is unable to
fulfill its contractual obligations. The Company minimizes the credit risk associated with these activities by monitoring
counterparty credit exposure and collateral values. Other than margin requirements, the Company is not subject to additional
terms or contingencies which would expose the Company to additional obligations based upon the performance of the securities
pledged as collateral.
The Company assumed liabilities under a master credit facility agreement previously entered into by CBAM (the
“CBAM CLO Financing Facility,” together with the Carlyle CLO Financing Facility, the “CLO Financing Facilities”) to
finance a portion of the risk retention investments in certain European CLOs managed by CBAM. The maximum facility
amount is €100.0 million, but may be expanded on such terms agreed upon by the Company and the counterparty subject to the
terms and conditions of the CBAM CLO Financing Facility. Each transaction entered into under the CBAM CLO Financing
Facility will bear interest at a rate based on the weighted average effective interest rate of each class of securities that have been
sold plus a spread to be agreed upon by the parties. As of March 31, 2025, €63.4 million ($68.6 million) was outstanding under
the CBAM CLO Financing Facility.
Senior Notes
Certain indirect subsidiaries of the Company have issued long term borrowings in the form of senior notes, on which
interest is payable semi-annually in arrears. The following table provides information regarding these senior notes (Dollars in
millions):
Interest Expense
Fair Value (1)
As of
Three Months Ended
March 31,
Aggregate
Principal
Amount
March 31,
2025
December 31,
2024
2025
2024
3.500% Senior Notes Due 9/19/2029 (2)
$425.0
$404.3
$401.2
$3.8
$3.8
5.625% Senior Notes Due 3/30/2043 (3)
600.0
587.9
589.5
8.4
8.4
5.650% Senior Notes Due 9/15/2048 (4)
350.0
341.9
338.1
5.0
5.0
$17.2
$17.2
(1)Including accrued interest. Fair value is based on indicative quotes and the notes are classified as Level II within the fair
value hierarchy.
(2)Issued in September 2019 at 99.841% of par.
(3)Issued $400.0 million in aggregate principal at 99.583% of par in March 2013. An additional $200.0 million in aggregate
principal was issued at 104.315% of par in March 2014, and is treated as a single class with the outstanding $400.0 million
in senior notes previously issued.
(4)Issued in September 2018 at 99.914% of par.
The issuers may redeem the senior notes, in whole at any time or in part from time to time, at a price equal to the greater
of (i) 100% of the principal amount of the notes being redeemed and (ii) the sum of the present values of the remaining
scheduled payments of principal and interest on any notes being redeemed discounted to the redemption date on a semiannual
basis at the Treasury Rate plus 40 basis points (30 basis points in the case of the 3.500% senior notes), plus in each case accrued
and unpaid interest on the principal amounts being redeemed.
Subordinated Notes
In May 2021, an indirect subsidiary of the Company issued $435.0 million aggregate principal amount of 4.625%
Subordinated Notes due May 15, 2061 (the “Subordinated Notes”), on which interest is payable quarterly accruing from May
11, 2021. In June 2021, an additional $65.0 million aggregate principal amount of these Subordinated Notes were issued and
are treated as a single series with the already outstanding $435.0 million aggregate principal amount. The Subordinated Notes
are unsecured and subordinated obligations of the issuer, and are fully and unconditionally guaranteed (the “Guarantees”),
jointly and severally, on a subordinated basis, by the Company, each of the Carlyle Holdings partnerships, and CG Subsidiary
Holdings L.L.C., an indirect subsidiary of the Company (collectively, the “Guarantors”). The Consolidated Funds are not
guarantors, and as such, the assets of the Consolidated Funds are not available to service the Subordinated Notes under the
Guarantee. The Subordinated Notes may be redeemed at the issuer’s option, in whole or in part, at any time and from time to
time on or after June 15, 2026, prior to their stated maturity, at a redemption price equal to their principal amount plus any
accrued and unpaid interest to, but excluding, the date of redemption. If interest due on the Subordinated Notes is deemed to no
longer be deductible in the U.S., a “Tax Redemption Event,” the Subordinated Notes may be redeemed, in whole, but not in
part, within 120 days of the occurrence of such event at a redemption price equal to their principal amount plus accrued and
unpaid interest to, but excluding, the date of redemption. In addition, the Subordinated Notes may be redeemed, in whole, but
not in part, at any time prior to May 15, 2026, within 90 days of the rating agencies determining that the Subordinated Notes
should no longer receive partial equity treatment pursuant to the rating agency’s criteria, a “rating agency event,” at a
redemption price equal to 102% of their principal amount plus any accrued and unpaid interest to, but excluding, the date of
redemption.
As of March 31, 2025 and December 31, 2024, the fair value of the Subordinated Notes was $348.0 million and
$356.4 million, respectively. Fair value is based on active market quotes and the notes are classified as Level I within the fair
value hierarchy. For the three months ended March 31, 2025 and 2024, the Company incurred $5.9 million and $5.9 million,
respectively, of interest expense on the Subordinated Notes.
Debt Covenants
The Company is subject to various financial covenants under its loan agreements including, among other items,
maintenance of a minimum amount of management fee-earning assets. The Company is also subject to various non-financial
covenants under its loan agreements and the indentures governing its senior notes. The Company was in compliance with all
financial and non-financial covenants under its various loan agreements as of March 31, 2025.
Loans Payable of Consolidated Funds
Loans payable of Consolidated Funds primarily represent amounts due to holders of debt securities issued by the CLOs.
As of March 31, 2025 and December 31, 2024, the following borrowings were outstanding (Dollars in millions):
 
As of March 31, 2025
 
Borrowing
Outstanding
Fair Value
Weighted
Average
Interest Rate
 
Weighted
Average
Remaining
Maturity in
Years
Senior secured notes
$7,537.4
$7,434.2
5.64%
9.69
Subordinated notes
284.7
246.1
N/A
(2)
8.81
Revolving credit facilities(1)
121.4
121.4
7.10%
4.13
Total
$7,943.5
$7,801.7
 
 
As of December 31, 2024
 
Borrowing
Outstanding
Fair Value
Weighted
Average
Interest Rate
 
Weighted
Average
Remaining
Maturity in
Years
Senior secured notes
$6,732.8
$6,598.8
5.72%
9.18
Subordinated notes
229.9
210.3
N/A
(2)
9.15
Revolving credit facilities(1)
55.1
55.1
7.01%
4.53
Total
$7,017.8
$6,864.2
(1)Fair Value as of March 31, 2025 and December 31, 2024 reflects the amortized cost of outstanding revolving credit balances which
approximates fair value.
(2)The subordinated notes do not have contractual interest rates, but instead receive distributions from the excess cash flows of the
CLOs.
Loans payable of the CLOs are collateralized by the assets held by the CLOs and the assets of one CLO may not be used
to satisfy the liabilities of another. This collateral consisted of cash and cash equivalents, corporate loans, corporate bonds and
other securities. As of March 31, 2025 and December 31, 2024, the fair value of the CLO assets was $8.8 billion and $7.9
billion, respectively.