Former American Capital MD defects to Allied

The publicly traded business development company has hired the former Los Angeles head of American Capital Strategies as it expands operations to California.

Washington, DC-based Allied Capital, a publicly traded business development company, last month announced the hire of Jeri Harman as managing director and head of its new Los Angeles office.

Harman will be in charge of establishing operations in California and for leading all origination and execution processes for Allied, one of the largest and most established BDCs. In addition, she will serve as a member of the company’s investment committee.

Harman most recently served as managing director and head of the American Capital Strategies Los Angeles office for four years. Previously, she was managing director and head of private placements at First Security Van Kasper.

The new office comes amidst a spurt of BDC activity as more and more players hasten to expand into the sector. Earlier this week, Gladstone Capital hired Robert Pierce as managing director to head up its new Chicago office. Last week, New York-based Gleacher Investment Corporation announced that it would seek $500 million from the public for senior and mezzanine debt investments in private companies. Earlier this month, Boston buyout firm Thomas H. Lee Partners indicated it is seeking $500 million for THL Investment Capital, and Los Angeles-based Gores Technology said it is seeking $250 million for Gores Investment Corporation.

Since April, a number of other US private equity firms have filed to take public BDCs, including KKR, Blackstone, Kelso/BlackRock, Evercore, Prospect Street and Porticoes. These filings follow the successful April IPO of Apollo Investment, which raised $930 million for a vehicle tied to New York private investment giant Apollo Advisors.