PGIM launches direct lending ELTIF
PGIM Private Capital has launched its first European Long-Term Investment Fund (ELTIF), focused on direct lending.
The asset manager’s private capital arm said that the ELTIF will support its loan origination efforts in Europe, providing flexibility to extend loans across the continent with a more diverse mix of borrowers.
The ELTIF is an EU structure that has been heralded as a way to democratise access to private assets, including private credit.
PGIM Private Capital’s direct lending strategy focuses on the core middle market, with its portfolio including both sponsored and non-sponsored loans.
“The majority of our loan origination is done on a direct basis, building one-on-one relationships with companies,” said Matt Harvey, head of direct lending at PGIM Private Capital.
Read more: PGIM chief says private credit is maturing despite market challenges
“This ELTIF structure will give us the flexibility we need to partner with the widest range of companies and enable us to further meet the growing need for private credit solutions from borrowers across Europe.”
PGIM Private Capital manages a $101.5bn (£80bn) portfolio of private placements, mezzanine and direct lending investments, and purchases up to $16bn annually in predominantly senior debt and junior capital.
It is part of PGIM, which is the $1.34tn global asset management business of Prudential Financial.
Read more: Zurich partners with Pemberton to launch private debt ELTIF
