BlackRock TCP Capital, a business-development company (BDC), is selling a significant portion of its debt investments, totaling $523 million, to secondary specialist Pantheon. This transaction represents nearly half of BlackRock TCP Capital’s debt holdings and is aimed at reducing leverage and improving shareholder returns.

The deal underscores a growing trend in the private-credit market, where nonbank lenders are increasingly utilizing secondary market transactions. These deals allow lenders to manage their balance sheets more effectively, provide liquidity to their investors, and adjust their risk exposure.

BlackRock TCP Capital, which focuses on lending to midmarket businesses, has packaged its private loans for sale to the London-based Pantheon. This strategic move by BlackRock TCP Capital signals a proactive approach to capital management within the dynamic private-credit landscape.