Carlyle is exploring a multibillion-dollar structured financing to seed its next flagship buyout fund, Carlyle Partners IX, according to Bloomberg sources. The transaction, codenamed Project Potomac, would combine senior debt, preferred shares, and common equity to provide both early capital and liquidity to investors in older funds.

This financing approach resembles a collateralised fund obligation, pooling stakes from multiple funds into a special-purpose vehicle. The structure allows asset managers to borrow more efficiently than against single portfolio companies. AlpInvest, Carlyle's secondaries business, is reportedly structuring the transaction.

The Washington-based firm recently returned about $18 billion to investors last year and completed $7.5 billion in exits during the first two months of 2026. Carlyle aims to raise at least $200 billion by 2028, including $50 billion for global private equity and $90 billion for credit strategies.