US Direct Lending Spread Per Turn of Leverage Widens

octus
Content hub / Article / Octus / US Direct Lending Spread Per Turn of Leverage Widens

To access the full Octus report, please contact us.

Wider spreads and slightly lower leverage provided lenders with better risk-adjusted pricing across all deal sizes in the second quarter. In the lower middle-market segment the average spread per unit of leverage increased 6% quarter over quarter to 145 bps. For larger middle-market credits (with total deal size of between $151 million to $500 million), the spread per turn of leverage widened 4% to 112 bps in the second quarter. In the large-cap market it was up by 8% to 98 bps in the second quarter of 2026.

2026 Private Credit Investor Survey

Share your perspective

2026 Private Credit Investor Survey

Institutional investors, RIAs and financial advisors - we want to hear from you. Take this two-minute anonymous survey and receive the results report.
Take the survey
PitchBook's H1 2026 Global Private Debt Report

Report

PitchBook's H1 2026 Global Private Debt Report

Strong fundamentals, but uncertainty remains.
Download

Latest news

    US leveraged loan launches reach five-month high in September

    The US leveraged loan market recorded $93.6b of launches in September, marking the busiest month of primary market activity since…

    Read More

    Information technology topped nonaccruals on a cost basis

    The information technology sector moved from second place in the first quarter to the top of the list in the second quarter

    Read More

    KBRA DLD Default Indices

    Read More