Singapore’s Temasek sets up £5.9bn private credit platform

Singapore state-owned investment firm Temasek is launching a private credit platform with an initial portfolio of around S$10bn (£5.9bn), as it looks to capitalise on opportunities in the fast-growing sector.

Temasek has been investing in credit funds for over a decade and in 2016, it assembled a credit and hybrid solutions team to access a broader range of opportunities in the private credit space.

“As it continues to shape a resilient and forward-looking portfolio, Temasek has set up a dedicated platform to enhance its ability to scale its credit and hybrid solutions portfolio and capture global private credit opportunities,” the firm said in a statement.

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The platform’s portfolio will consist of direct investments and credit funds, and will be managed by a team of around 15 credit investment professionals across offices in New York, London and Singapore, who have been transferred from Temasek’s credit and hybrid solutions team.

The platform will be led by chief executive Nicolas Debetencourt, who has been the head of credit and hybrid solutions at Temasek since 2016.

The new platform will be separate to Temasek asset management business, Seviora Group, which offers private credit solutions in Asia via SeaTown Holdings International.

Read more: Temasek’s SeaTown closes private credit fund with $1.3bn

Investors globally have been piling into the $1.7tn private credit sector to benefit from double-digit returns and diversification away from public markets. Sovereign wealth funds, insurers and pension funds have all been increasing their allocations to the asset class in recent years.

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