Franklin Templeton Folds Alcentra Into Benefit Street Partners

Franklin Templeton is folding its European private credit unit Alcentra into its US counterpart Benefit Street Partners LLC, marking the end of a difficult period for the once-prominent direct-lending firm.

The move reflects broader consolidation across the $1.7 trillion private credit industry, as investors increasingly favor large, diversified managers offering multiple strategies. The combined businesses, operating under the Benefit Street Partners title, will oversee roughly $86 billion in assets.