Goldman Picks Private Credit Over Open Markets in Pioneering Move for Debt Deals
- Rare instance of banks distributing straight to direct lenders
- Traditional routes bypassed as syndicated debt still volatile
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Goldman Sachs Group Inc. and two other lenders are underwriting a buyout with debt that they will sell directly to private credit funds, bypassing the public markets, in a pioneering move for Europe’s leveraged finance markets.
Jefferies and KKR Capital Markets have joined Goldman Sachs in underwriting a financing to syndicate directly to private credit firms, according to people familiar with the matter who asked not to be identified because the talks aren’t public. They’re holding talks with around 20 to 30 funds this week and next, to sell the financing and drive down pricing and terms.