Private Debt Intelligence – 5/2/2022
Special situations fundraising momentum slows
Chart
Download Data
[wpdm_package id=’54372′]
Special situations is a niche – but important – segment of the private debt market and attracted interest during the COVID-19 pandemic. Have investors now cooled on the strategy? Early indications from Preqin data suggest that may be the case. Despite consistent levels of aggregate capital raised, special situations fundraising momentum has slowed down in 2022. The average percentage of target size at final close, which had been rising since 2019 from 107%, dropped from 130% last year to 97% in year-to-date 2022. Furthermore, the average number of months to final close increased from 18 months in 2021 to 25. This could be a sign of the market stabilizing as much of the uncertainty around COVID-19 is resolved.
(Past performance is no guarantee of future results.)
Contact: Megan Harris
megan.harris@preqin.com
Private Credit Defaults 101: Back to School
As Labor Day approaches, the unofficial end of summer is upon us. But, before we get too sad, there is also the familiar back-to-school energy.