Private Credit

The black glass and white travertine Solow Building at 9 West 57th Street in Manhattan, seen from street level against a blue sky, with older towers on either side.

Ares Capital Will Pay a 30 Per Cent Premium for an Apollo-Managed Lender. The $10.88 Price Is Still 15 Per Cent Below What the Lender Says Its Loans Are Worth.

Ares Capital, the largest listed business development company, agreed on 26 October to buy MidCap Financial Investment Corporation, which is managed by an Apollo affiliate, for about $10.88 a share in cash and stock, a total enterprise value of about $2.6 billion. The price is a 30.1 per cent premium to MFIC's last close but below its preliminary net asset value of about $12.86 a share. The deal needs MFIC shareholder approval and is expected to close in the first half of 2027.

By Daniel Okafor October 28, 2026

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Business

Truist Is Selling $7.7 Billion of LightStream Loans to Carlyle, Weeks After Shedding $5.5 Billion of Auto Loans. It Also Took a $1.45 Billion Securities Loss.

Truist agreed on 14 October to sell $7.7 billion of unsecured consumer loans, substantially all of LightStream's assets, to Carlyle. Its third-quarter results on Friday 16 October showed reported earnings of $0.56 a share and adjusted earnings of $1.16, after a $1.447 billion pre-tax loss on the sale of securities.

By Margaret Holloway October 17, 2026

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Markets

Investors Asked to Pull 39% of Blue Owl's Tech Lending Fund. It Will Pay Out 5%.

Shareholders in Blue Owl Technology Income Corp. asked to sell 39 per cent of the fund back in the third quarter, about $1.1 billion. The fund will buy back 5 per cent, so each request will be filled at about 13 per cent. At Blue Owl's larger credit fund, requests fell for a second quarter, to 16.8 per cent of shares. Across the two, investors asked for $4.2 billion.

By Daniel Okafor October 5, 2026

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Money

Florida Says Atlantic Coast Life Is $170 Million Short. South Carolina Says $900 Million of Annuities Unlock This Year.

Florida's insurance regulator suspended Atlantic Coast Life's licence on 30 September, finding that once its investments are valued under state limits the insurer has been short of required surplus since at least September 2025, by $170 million at the end of June. South Carolina, where the company is based, has asked a court to take it over. Its petition says about $900 million of the insurer's annuities reach the end of their surrender-charge periods this year.

By Daniel Okafor October 5, 2026

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The Numbers

Metrics Cut Its Funds by Up to 12 Per Cent. KPMG Still Would Not Sign.

One of Australia's largest private credit managers wrote down three listed funds on Monday, by 2, 10 and 12 per cent, and said a clean audit was expected on Wednesday. On Wednesday the auditor said it was not ready. Metrics has now suspended redemptions and stopped publishing net asset values in the unlisted funds underneath. The share prices had been pointing at a lower number for months.

By Daniel Okafor October 1, 2026

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The Numbers

Private Credit's Default Rate Hit a Record the Week Before the Fed Raised Rates

Fitch put the trailing twelve-month default rate across 1,300 private credit borrowers at 6.3 percent at the end of August, a record, with 14 default events in the month. Healthcare providers and industrial manufacturers are both running near 10 percent. On Wednesday the Federal Reserve raised the rate almost all of that debt is priced against.

By Daniel Okafor September 16, 2026

Two people reviewing and signing a contract.

The Numbers

Covenant-Lite Did Not Change the Odds of Default. It Changed What Is Left.

Moody's puts expected ultimate recoveries on first-lien middle-market loans at about 68 cents, against a long-run average in the high seventies. Between 90 and 95 percent of broadly syndicated issuance now carries no financial maintenance covenant. Those two facts are the same fact.

By Daniel Okafor September 5, 2026

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Markets

A Secondary Sale Is the Only Place a Private Credit Mark Meets a Buyer

Credit secondaries volume went from about $6bn in 2023 to roughly $11bn in 2024 and is expected to top $18bn for 2025. Quality stakes change hands at 95 to 99 percent of net asset value. That is either evidence the marks are right, or evidence that only the defensible ones get offered.

By Daniel Okafor September 4, 2026

The Long View

Private Credit Stabilised and Deteriorated in the Same Quarter, and Both Are True

One account of second-quarter results says conditions have begun to stabilise. Another, from a review of filings by 44 business development companies, says portfolios moved further below cost. Ares Capital's non-accruals rose 15 percent to $708m. The reports do not contradict each other; they describe different derivatives of the same line.

By Daniel Okafor September 3, 2026

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Markets

A Mark Is an Opinion Until Somebody Has to Sell

Around forty lenders funded one Sydney developer, and each carried its own view of what the loans were worth. An insolvency does not create the loss. It supplies the first price anyone is obliged to accept.

By Daniel Okafor August 31, 2026

An aerial view of a financial district skyline at night

Markets

Private Credit's Growth Is Slowing. Its Influence Is Not

The asset class that ate corporate lending is maturing. What it built while growing is now permanent market structure.

By Daniel Okafor August 10, 2026

Private Credit

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