239 funds currently in market have an aggregate target size of $99.9 billion. This is more than two thirds as many corporate debt funds now as the same time last year, creating a highly competitive market place.
Corporate debt is the most popular sector within the private debt asset class; 65 percent of the total aggregate value that debt fund managers are hoping to raise will be allocated to corporate lending. Sailing Capital International and Oaktree Mezzanine Fund IV, targeting $8.09 billion and $3.5 billion respectively, are the largest funds seeking capital as at January 2015.
Corporate debt accounted for 68 percent of all capital raised by private debt funds that closed in 2014, with a total of $49.2 billion amassed throughout the year across 76 funds. Lone Star Fund IX was the largest vehicle of its type, closing in August 2014 at $7.4 billion.