PGIM announced it has agreed to acquire the remaining 25 percent interest in Deerpath Capital, bringing its ownership to 100 percent. The transaction follows PGIM’s initial acquisition of a 75 percent stake announced in May 2023 and is subject to regulatory approval.
The acquisition will strengthen PGIM’s direct lending platform by combining Deerpath’s lower middle market expertise with PGIM’s existing core middle market and large cap capabilities, positioning the firm among a select group of asset managers with capabilities spanning the direct lending spectrum, with a combined $16 billion in assets under management across a team of 55 investment professionals. Deerpath Capital, which has focused exclusively on the U.S. lower middle market for nearly two decades, has invested more than $15 billion across more than 1,200 transactions and manages more than $9 billion in assets as of March 31, 2026. James Kirby and Tas Hasan will continue to lead the Deerpath investment process and investment committee governance while assuming leadership roles across PGIM Credit’s middle market direct lending platform.
KEY QUOTES:
“As direct lenders have scaled, many have moved into the large cap segment. We continue to believe the traditional middle market remains an attractive and important segment for borrowers and investors. By moving to full ownership of Deerpath Capital, we are creating a more coordinated and scaled direct lending platform while preserving the investment discipline that has underpinned Deerpath Capital’s success.”
Matt Harvey, Global Head of Middle Market Direct Lending, PGIM
“As one of the world’s leading asset managers, PGIM is an ideal home for Deerpath, combining deep capital resources, asset management expertise and global relationships. Tas and I have developed an excellent working relationship with our colleagues at PGIM, and we look forward to the next chapter as part of the comprehensive PGIM Credit platform.”
James Kirby, Chief Executive Officer, Deerpath Capital
