PGIM expects strong 2024 for private debt after $13.7bn investment
PGIM Private Capital has provided $13.7bn (£10.8bn) of senior debt and junior capital to more than 250 companies globally last year.
The private markets arm of asset management giant PGIM added 106 new issuers to its portfolio and lent to 159 existing borrowers over the period.
Its investments included $10bn of investment grade and $503m of mezzanine and private equity deals.
The majority of the capital, some $7.4bn, went to global corporate finance investments, while $4.7bn was deployed across real assets sectors.
Over the year, the firm also acquired a majority stake in US private credit manager Deerpath Capital Management and launched its CLO platform Windhill. It completed its first issuance in December for $396m.
Read more: PGIM to invest “significant dollars” in private alternatives
“I would expect our origination pace to be strong in 2024. Even though continued economic and geopolitical uncertainty may pressure M&A activity and cause some issuers to defer financing decisions, companies and sponsors will value certainty of execution and trusted partners who can deliver in these market conditions,” said Matt Douglass, senior managing director and head of PGIM Private Capital.
“I am optimistic that our stability and continued expansion of our origination network and investment capabilities will drive solid levels of activity in these conditions.”
Overall, PGIM Private Capital manages $101.5bn and buys up to $16bn annually in senior debt and junior capital.
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