With Intelligence: Surging Private Credit Fuels Acquisition Wave for 2025
Deal News | Jan 22, 2025 | EIN
The With Intelligence Private Credit Outlook 2025 highlights a substantial increase in private credit fundraising, reaching $209 billion in 2024, signaling continued growth in 2025. The report suggests the current trend of institutional investors, such as banks and pension funds, is leaning towards acquisitions of private debt specialists, with a focus on direct lending and specialty finance. The consolidation of resources around a few mega funds is expected to streamline this process, increasing acquisition activity. Leading banks such as Goldman Sachs are actively establishing positions in this space, as demonstrated by their new Capital Solutions Group. The shift in bank regulations, particularly around risk transfer mechanisms like SRTs and NAV loans, is set to fuel further market growth. Additionally, the Middle East, particularly the UAE, is emerging as a stronghold for private credit investment as sovereign wealth funds in the region continue substantial investments. With Intelligence, established in 1998, provides comprehensive investment intelligence, assisting professionals with strategic allocation and private credit insights, supporting them as these marketplace changes unfold.
Sectors
- Private Credit
- Investment Management
- Financial Services
Geography
- United Kingdom – With Intelligence, the research firm cited in the article, is based in London, and plays a central role in providing insights on global investment trends.
- United Arab Emirates – The UAE is highlighted as a growing hub for private debt activities with several firms opening new offices there in 2024.
Industry
- Private Credit – The article is centered around the trends and forecast in the private credit sector, with a particular focus on direct lending and specialty finance.
- Investment Management – The involvement of institutional investors like large banks, pension, and sovereign wealth funds categorizes this article under investment management.
- Financial Services – This industry is relevant as it includes banks and other entities that are integral to the private credit and regulatory trends discussed in the article.
Financials
- $209 billion – The total amount of private credit fundraising achieved in 2024.
- $2.5 billion – Funds raised by the largest SRT vehicles closed in 2024 by Chorus Capital and Axa IM Alts.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| With Intelligence | Research Provider | Company | With Intelligence is a provider of investment intelligence, including research on private credit trends. |
| Goldman Sachs | Investor | Company | Goldman Sachs has launched a Capital Solutions Group, showing its interest in expanding its private credit activities. |
| Chorus Capital | Investor | Company | Chorus Capital is one of the firms involved in the largest SRT funds closed in 2024. |
| Axa IM Alts | Investor | Company | Axa IM Alts, along with Chorus Capital, raised one of the largest SRT funds in 2024. |