The Unicrunch — Private credit spreads continue to tighten
- Peter Benson
The Unicrunch is our US private credit newsletter, in which we break down everything from unitranches to ABL. Find out more about 9fin for private credit here.
Spread compression
The prevailing sentiment for a long time now is that it is a borrower friendly market this year. A lack of M&A activity continues to push private credit firms to jump on every opportunity.
As a result, private credit firms are accepting even lower spreads on regular way middle market deals. A recent report from Configure Partners found that spreads have compressed drastically in Q2.