Alcentra Faces Challenges, Signaling Trouble in Private Credit Market

Reported 3 days ago

Alcentra, once a leader in European private credit, is now struggling to maintain its position as competitors like Ares and BlackRock thrive. After a decline from $38 billion in assets at acquisition to around $32 billion now, Alcentra's direct-lending division has been halved since 2020, showcasing the volatility in the private credit sector. The firm's challenges, including leadership changes and poor investments, serve as a cautionary tale to the industry, suggesting that firms unable to keep pace may see dwindling investor interest.

Source: YAHOO

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