PGIM Private Capital raises $2.4bn for Direct Lending fund, PGIM Senior Loan Opportunities I

PGIM Private Capital has completed fundraising for PGIM Senior Loan Opportunities I, with available capital commitments exceeding $2.4bn.

PSLO I marks PGIM Private Capital’s inaugural Direct Lending fund subscribed by unaffiliated investors, following over two decades of successful capital deployment in comparable direct lending strategies for affiliated investors. PGIM Private Capital is a leading source of private credit for public and private companies and is the private capital arm of PGIM, the $1.5 trillion global investment management business of Prudential Financial.

PGIM Senior Loan Opportunities I, L.P., achieved its final closing in January 2022, within one year of its first closing and amid ongoing economic uncertainty. The fund is supported by a blue-chip institutional investor base including insurance companies, pension funds and sovereign wealth funds across the U.S., Europe and Asia.

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“The closing of PSLO I validates our unique investment proposition in the Direct Lending asset class, leveraging our world-class origination approach to create portfolio diversification among both non-sponsored and sponsored issuers in the middle market,” said Jeffrey Dickson, Executive Managing Director and Head of Alternatives, PGIM Private Capital.

“The closing of PSLO I validates a unique investment proposition in the Direct Lending asset class, leveraging our world-class origination approach to create portfolio diversification among both non-sponsored and sponsored issuers in the middle market,” said Jeff Dickson, executive managing director and head of Alternatives, PGIM Private Capital. “Our deep expertise across geographic markets and relationship-oriented approach to lending have served us well as we continue to deploy capital.”

PGIM Private Capital’s Direct Lending approach is based on establishing close, long-term relationships with counterparties, which often enables more exhaustive due diligence and better investment suitability determination. The fund’s strategy accelerates PGIM Private Capital’s investment efforts to support middle-market companies primarily operating in North America, Europe and Australia. Early deployment momentum has been strong with nearly 50% of the fund’s capital already invested, signaling strong continued growth in PGIM Private Capital’s direct lending origination capability.

“The closing of our first Direct Lending fund is a testament to our disciplined credit judgment and cycle-tested track record,” added Matthew Harvey, executive managing director and head of Direct Lending, PGIM Private Capital. “Our unique approach to non-sponsored and geographic issuer diversification, coupled with a core allocation to traditional sponsored transactions, resonates with sophisticated institutional investors and is increasingly differentiated as the Direct Lending asset class matures.”

Said Dickson, “We look forward to supporting our partners through our unique global origination resources and to generating attractive, durable returns for our investors worldwide.”

Source: Business Wire

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