2Q25 US MM LBO volume down 30% quarter over quarter

LSEG (1)
Content hub / Article / LSEG / 2Q25 US MM LBO volume down 30% quarter over quarter

Middle market LBO loan volume totalled US$10.28bn in the second quarter, down 30% compared to 1Q25 results but up 2% compared to the year ago period. At US$8.7bn direct lending LBO activity represented over 84% of total middle market buyout financing during the quarter. Despite steady liquidity across both the the direct lending and broadly syndicated loan markets, market uncertainty contributed to a slow down of new sponsored activity early in the quarter and while there were signs that lender demand for assets outpaced supply, the build out of any new pipeline remained limited.

Contact Maria dikeos
Private Debt Investor New York Forum

September 15-16, Hudson Yards, New York

Private Debt Investor New York Forum

Bringing together the investors, managers and advisers shaping the next phase of the market — 200+ allocators and $10.6 trillion of LP capital expected. Benchmark strategies, hear from leading LPs, and cut through market noise over two unmissable days.
Learn more
US Private Credit League Tables H1'26

Report

US Private Credit League Tables H1'26

The definitive rankings covering private credit activity in H1'26.
Download
PitchBook's Q2 2026 US PE Breakdown

Report

PitchBook's Q2 2026 US PE Breakdown

Software freezes and energy powers on as US PE deal value falls 38% in Q2 2026.
Download
Making sense of private credit defaults

Webinar

Making sense of private credit defaults

What does private credit default data really tell us? Join our exclusive webinar featuring experts from KBRA, Moody's, Fitch Ratings, and S&P Global to find out.
Register

Latest news

    Q2'26 BDC analysis shows additional 184 bps of nonaccruals at cost

    In a universe of 173 business development companies, or BDCs, Octus identified a total of $9.5 billion of debt (at cost) in nonaccrual status reported in the second quarter of 2026, a slight decline of 5% from $10 billion in the first quarter of 2026.

    Read More

    Reading the Board

    The story changes depending on which numbers you’re counting.

    Read More

    Private Credit Defaults 101: Different Numbers, Different Stories

    In Season 2 of Billions, Bobby Axelrod takes his lawyer Orrin Bach to an empty Yonkers racetrack in the dead of night.

    Read More