Pantheon held the final close Pantheon Senior Debt II USD (PSD II) with $834 million in commitments, well in excess of its initial $500 million target.
The firm overall surpassed $2.4 billion in private debt secondaries, which officials said makes it one of the largest global investors in this growing arena of alternative credit. The firm estimates relying on its own deal sourcing that the global private debt secondary deal flow reached a historic $18.4 billion last year and they said it will continue to expand.
“We are pleased with the continued growth and expansion of our leadership position in private credit secondaries, and these recent closings establish Pantheon as one of the largest scale providers of secondary-focused credit liquidity solutions globally,” said Rakesh (“Rick”) Jain, global head of private debt at Pantheon, which has $84.6 billion in private markets firmwide.
Pantheon’s private debt business, which also includes primary fund investment and co-investment strategies, now has $4.7 billion in assets under management or advice, including more than $3.4 billion in new capital raised since it was launched as a dedicated strategy in 2018 as an extension of the firm’s established secondaries capabilities. The firm has invested in private equity secondaries since 1988 and in infrastructure secondaries since 2009 – combined Pantheon has $22.7 billion committed to both LP- and GP-led secondary transactions across private equity, infrastructure and private debt.
“We will continue to leverage our expertise in credit secondaries to capitalize on the growing range of compelling and often complex opportunities in this space, and to evolve our investment capabilities to meet the needs of our clients worldwide,” Jain added in the firm’s announcement. “We see increasing investor interest in credit secondaries, due to the benefits of highly invested portfolios, high levels of diversification across company, industry, strategy and vintage year, attractive credit metrics, and shorter durations than what they might experience with other private credit investment alternatives.”
