Private credit news covering direct lending funds, BDCs, leveraged loans, fundraising, defaults, and the rapid growth of non-bank corporate lending.
Fitch Ratings reported that the US private credit default rate reached a record 6.3% in August, up from 6.1% the previous month. The data covers 1,300 borrowers and marks the highest monthly volume of default events observed over the last year.
The Wall Street Journal argues that regulators are overlooking significant risks in private credit due to undisclosed fund-level debt. It contends that this opaque leverage magnifies investor losses during downturns and poses potential threats to the broader banking sector, urging greater transparency from private lenders.
KKR structured or syndicated over $80 billion in private investment-grade financing during the first half of the year, doubling its volume compared to all of 2025. The surge reflects growing corporate demand for flexible borrowing options amid shifting market conditions.