BlackRock wrote down a second loan to zero in the space of 8 months.
And it took for the latest write down to 0 only 3 months after the loan was carried at 100 % on the books.
The problems in the private credit sector seem to be piling up after the Tricolor, First Brands and Market Financial Solutions(MFS) collapsing.
All three, including the lender Market Financial Solutions drew fraud and improprieties accusations.
On top of that, Blue Owl first tried to merge a hundreds of millions of USDs of private credit loans OBDC II fund into another, then held off redemptions in it and recently sold off 1.4 billion USDs of assets to finance redemptions.
According to analysts the software sector accounts for around 20 % of private credit loans.
In short, as long as the artificial intelligence, AI boom does not turn to a bust and the Nasdaq corrects by more than 30 %, if not more than 62 %, the private equity, private credit, real estate and infrastructure asset management leaders Blackstone, BlackRock, KKR, Apollo, Carlyle, TPG, CVC, EQT, Partners Group and the rest of the private equity, private credit sector should recover, according to Wolfteam Ltd.'s projections and estimates.
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