Pantheon has raised $2.2bn (£1.7bn) at the final close of its third opportunistic credit secondaries program.

Oversubscribed by two-and-a-half times its target, Pantheon Credit Opportunities III (PCO III) attracted a range of institutional investors including pension funds, sovereign wealth funds and insurance companies, as well as private wealth clients.

The investors were primarily based in North America, Europe, the Middle East and Asia.

Read more: Pantheon raises $5.2bn for third senior credit secondaries program

PCO III will target absolute and risk-adjusted returns across a diversified range of credit strategies in portfolios managed by private credit GPs, spanning senior, junior, asset-backed and opportunistic credit.

It sits in Pantheon’s integrated private credit secondaries platform, which includes dedicated pools of capital for US and European senior private credit as well as opportunistic credit.

This close brings the total raised for the third generation of Pantheon’s senior and opportunistic credit fundraising programs to $8.3bn.

It follows Pantheon’s $5.2bn raise in April for its third senior credit secondaries program, Pantheon Senior Debt III, which targets portfolios of senior secured, floating rate, primarily sponsor-backed investments across LP interests and GP solutions opportunities.

Pantheon said it was seeing continued appetite from institutional and private wealth investors despite broader fundraising challenges across private markets, which it said showcased the strength of its platform and conviction in secondaries.

Read more: Pantheon raises $5.2bn for third senior credit secondaries program

“Private credit secondaries are entering a new phase of maturity and growth, driven by increased deal flow, heightened liquidity needs and greater buyer and GP-led activity,” said Rakesh Jain, partner and global head of private credit.

“As long-standing investors in both secondaries and private credit, our ability to provide creative solutions-oriented partnership capital to GPs and LPs is a key differentiator.

“We’re excited to leverage our flexible mandate and deep sourcing capabilities to identify and execute on the most compelling opportunities.”

“We are grateful for the trust of our investors and proud to have built one of the most agile and diversified credit secondary platforms in the market,” added Toni Vainio, partner and head of European private credit at the firm.

“An experienced dedicated team manages both our senior and opportunistic credit secondaries strategies, ensuring consistency in underwriting and execution. Strong alignment, combined with our global reach and longstanding GP relationships, positions us to deliver strong outcomes across market cycles.”

Read more: Rising competition changes market dynamics in private credit secondaries