PGIM has a long history of investment across private credit and real estate and has now combined its efforts under a new PGIM Private Alternatives umbrella that boasts $310 billion in assets under management.
Current PGIM Real Estate President and CEO Eric Adler has been appointed to lead the new unit, which combines strategies managed by PGIM Real Estate (real estate and agriculture), PGIM Private Capital (private credit, infrastructure debt) and Montana Capital Partners (private equity secondaries).
PGIM Real Estate, the third-largest real estate investor and one of the largest agriculture investors globally, has named Cathy Marcus and Raimondo Amabile as co-chief executive officers, effective Oct. 1, when Adler takes on his newly expanded role.
Marcus and Amabile will jointly run the real estate business in an expansion of their existing global and regional roles after working together for over a decade. Marcus will retain her responsibilities as global chief operating officer, and Amabile will retain his responsibilities as global chief investment officer.
PGIM Private Capital in total manages $98 billion private credit and originated $16.1 billion of senior debt and junior capital to 241 middle-market companies and projects globally in 2022. Earlier this year, PGIM took a majority interest in Deerpath Capital in an expansion of its direct lending capabilities following the 2021 acquisition of private equity secondary specialist Montana Capital Partners.
Under the new structure, underlying investment strategies and portfolio and originations teams will remain distinct, with each affiliate maintaining its own governance. In his role as the CEO of PGIM Private Capital, Matt Douglass will continue to oversee PGIM’s private credit businesses as it continues to grow its global lending platform.
“Together the formation of PGIM Private Alternatives and Eric’s appointment reflect our firm belief in the importance of offering our clients seamless access to the full suite of capabilities across PGIM’s affiliates, particularly as institutional clients continue to increase their allocations to private alternatives,” said PGIM President and CEO David Hunt.