Public-Private Debt Convergence Puts the Squeeze on Smaller Managers
PGIM’s Phil Waldeck and Gabriel Rivera discuss the convergence of public and private credit in FundFire.
PGIM Private Capital provides $14.9B of senior debt and junior capital globally in 2024
CHICAGO, March 4, 2025 – PGIM Private Capital provided $14.9 billion of senior debt and junior capital to more than 238 middle-market companies and projects globally in 2024. PGIM Private Capital is a leading source of private debt for public and private companies and is the private capital arm of PGIM, the $1.38 trillion global management business of Prudential Financial, Inc. (NYSE: PRU).
Matt Douglass, senior managing director and head of PGIM Private Capital, commented: “The pace of originations was strong throughout 2024, surpassing the previous year, and represents the continued demand from a wide range of middle-market companies and projects for private credit solutions.
Media Contact
“We expect 2025 to be another busy year for originations with borrowers continuing to value our collaborative approach as we strive for certainty of execution against an ambiguous economic and uncertain geopolitical backdrop.”
Highlights:
- $10.5 billion of investment-grade investments, $3.9 billion of below-investment-grade investments, and $574 million of mezzanine and private equity investments.
- 116 new issuers across a range of industries added to the portfolio, and 122 existing borrower companies returned for further funding.
- $10.1 billion in Corporate investments across North America, the U.K., Europe, Latin America, and Australia.
- $4.7 billion in real assets sectors, including energy, power, infrastructure, and credit tenant lease financing.
- Over $2.5 billion in direct lending transactions, across 60 transactions.
PGIM Private Capital’s Direct Lending platform continues to expand, maintaining strong origination activity globally. With a presence across the U.S., Europe, and Australia, the platform has reliably deployed capital, cultivating a variety of sponsored and non-sponsored relationships. Additionally, in 2024, the Real Assets platform originated $3.1 billion in energy and power transactions, $1.2 billion in infrastructure investments, and $381 million in credit tenant lease transactions.
Key Transactions:
- The financing of Hudson Valley Parking Trust’s acquisition of ICON Parking, the largest parking operator in New York City.
- The first U.S. Private Placement transaction with Rubis Energie, a global leader in energy and bitumen distribution operating across 40 countries in Europe, Africa, and the Caribbean.
PGIM Private Capital is one of the largest global private capital providers, investing in private debt and equity for 100 years. Through a patient relationship-based approach and cross-border financing experience with local market knowledge, the global team has committed capital through market cycles to help investors improve portfolio outcomes.
ABOUT PGIM PRIVATE CAPITAL
PGIM Private Capital manages a $106.6 billion portfolio of private placements, mezzanine, and direct lending investments through its regional office network (Atlanta; Chicago; Dallas; Frankfurt, Germany; London; Los Angeles; Madrid; Mexico City1; Milan; Minneapolis; Newark, New Jersey; New York; Paris; San Francisco; and Sydney2) and purchases up to $16 billion annually in predominantly senior debt and junior capital. PGIM Private Capital manages more than $20 billion in outside non-affiliated assets through its Institutional Asset Management unit and Alternative Investments unit, comprising Direct Lending, PGIM Capital Partners, and PGIM Energy Partners mezzanine funds. All data as of Dec. 31, 2024. For more information please visit pgimprivatecapital.com.
ABOUT PGIM
PGIM is the global asset management business of Prudential Financial, Inc. (NYSE: PRU). In 41 offices across 19 countries, our more than 1,450 investment professionals serve both retail and institutional clients around the world.
As a leading global asset manager, with $1.38 trillion in assets under management,3 PGIM is built on a foundation of strength, stability, and disciplined risk management. Our multi-affiliate model allows us to deliver specialized knowledge across key asset classes with a focused investment approach. This gives our clients a diversified suite of investment strategies and solutions with global depth and scale across public and private asset classes, including fixed income, equities, real estate, private credit, and other alternatives. For more information visit pgim.com.
Prudential Financial, Inc. (PFI) of the United States is not affiliated in any manner with Prudential plc, incorporated in the United Kingdom, or with Prudential Assurance Company, a subsidiary of M&G plc, incorporated in the United Kingdom. For more information please visit news.prudential.com.
1 The Mexico City office operates through PGIM Real Estate Mexico S.C.
2 The Sydney office operates through PGIM (Australia) Pty Ltd.
3 As of Dec. 31, 2024.
See more
PGIM Chairman David Hunt on Expanding Access to Private Alternatives
Hunt joined Bloomberg TV to reflect on his tenure at PGIM, the firm’s global growth, and the evolution of asset management during his career.
PGIM Real Estate provides $141M in floating-rate financing for affordable housing portfolio in the Bronx
This affordable housing portfolio comprises 2,021 units across 34 properties, totaling 2.1 million square feet, located in the northern Bronx.