Serengeti Unwinds Public Credit in Shift to Private Investments

Serengeti Asset Management is closing its public-credit fund as it shifts away from its original strategy and moves almost entirely into private investments.

The money manager will stop taking new commitments and return capital to investors in its Lycaon opportunistic credit fund, according to an investor letter seen by Bloomberg. That fund was roughly $520 million as of 2018, and has shrunk to less than $300 million, said people with knowledge of the matter, asking not to be identified because the information isn’t public.

“Though we believe interesting liquid credit opportunities will present themselves in the future, and we are ...