During the first six months of the year, PGIM Private Capital provided $7.5bn (£5.76bn) of senior debt and junior capital to more than 130 middle-market companies and projects, the company has revealed.
This included $5.5bn of investment-grade investments, $1.7bn of below-investment-grade investments, and more than $230m in mezzanine and private equity investments.
The company added 56 new issuers to its portfolio, while 76 existing borrowing companies returned for additional funding.
Read more: PGIM expects strong 2024 for private debt after $13.7bn investment
“The first half of 2024 has been more stable for issuance than the same period last year,” said Matt Douglass, senior managing director and head of PGIM Private Capital.
“This year we’ve seen M&A activity pick up somewhat, a less uncertain economic environment and greater acceptance of higher rates which has fed through to a pickup in financing activity.
Read more: PGIM to invest “significant dollars” in private alternatives
“We expect momentum to continue with companies that have put off financing decisions gradually adjusting their expectations and cost structures in anticipation of a higher-for-longer rate environment, and continuing to look for long-term partners to provide credit solutions.”
$1.1bn of the $7.5bn total was allocated via direct lending transactions, across more than 30 transactions in nine countries.
Earlier this year, PGIM Private Capital launched its first European Long-Term Investment Fund (ELTIF), focused on European direct lending.
Read more: PGIM chief says private credit is maturing despite market challenges
