Alcentra closes on €5.5b for European direct lending fund

European private debt manager Alcentra, part of BNY Mellon Investment Management, has closed on €5.5 billion ($6.1 billion) for its latest European direct lending fund, the company said Monday.

The investor base comprises a broad range of institutional investors from Europe, the Middle East, the United States and Asia.

The firm was targeting €3 billion ($3.3 billion). With the fundraising, Alcentra’s direct lending platform has $10 billion in assets under management and a total AUM of $39 billion.

“Our track record as a pioneer in European direct lending, coupled with the underlying demand in this growing asset class, has driven the record demand for our latest direct lending offering,” said Vijay Rajguru, global chief investment officer at Alcentra in a statement. “It demonstrates that institutional investors are seeking to gain access to the compelling, stable long-term returns that this strategy can offer.”

Alcentra said the direct lendin