This video is sponsored by Antares Capital
With a possible recession on the horizon, the private debt sector stands at an interesting precipice. Notwithstanding the challenges ahead, Vivek Mathew, head of asset management at Antares Capital, views it as a potential catalyst for sector growth.
His conversation with Private Debt Investor touches on the substantial capital pool accumulated by the private equity industry, yet to be deployed, and the low penetration rate of private equity in the middle market. Despite inevitable hiccups and moderate losses, Mathew maintains that the potential final yield could mark one of the sector’s finest vintages.
When it comes to fundraising and investment, Mathew highlights the importance of experience in managing sensitive negotiations and restructuring. With the denominator effect currently impacting liquidity, investors need to be discerning in choosing a private debt manager who shares their risk profile. Additionally, Mathew remains confident that the opportunities in private debt are attractive with the potential to deliver double-digit returns.