PitchBook – US Private Credit Monitor, Apr 2025

The report focuses on the analysis of the current state and dynamics of the private credit market in the US, with an emphasis on direct lending and its impact on M&A deals.

Direct lending activity began slowly due to changes in US policy, including the introduction of new tariffs. Key sectors such as healthcare, technology, and services continue to dominate the direct lending space. Expected spreads on private loans have increased in response to tariffs and stock market declines. After 'Liberation Day', the syndicated loan market experienced a prolonged period without new issuances, which is typically beneficial for direct lenders. Refinancing has become a less significant part of deals. CLO issuance in the middle market and private credit reached record levels.