Blackstone’s private credit fund, BCRED, is marketing an $850 million investment-grade bond deal, according to Bloomberg.
The move comes as business development companies (BDCs) step up borrowing following a stretch of limited issuance.
BCRED was looking to raise $500 million from the investment-grade note sale. The firm has hired Deutsche Bank, Morgan Stanley, Wells Fargo, Mitsubishi UFJ Financial Group, and Royal Bank of Canada to work on the deal.
The five-year notes are expected to be priced at a yield of 2.3 percentage points over Treasuries, coming in roughly 25 basis points under earlier price guidance, and will be allocated to “general corporate purposes.”
In January, BCRED raised $700 million in aggregate principal for its private credit fund, a regulatory filing stated.
This deal comes amid a market downturn that has driven spreads on comparable fund debt to …
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