Robert Wartchow
Managing Director, Mid-Market Debt
Mid-Market Debt
Local Market Expertise, Proven Performance, Trusted Partner
Mid-Market Debt is Pemberton’s flagship direct lending strategy focused on investments in leading European mid-market companies. Across all MDF fund vintages we have:
€12.4bn
Cumulative Capital Raised1
€15.2bn
Cumulative Capital Deployed1,2
105
Companies Invested3
The Strategy Focuses on Investments in:
Leading European mid-market companies with:
- Strong credit fundamentals;
- EBITDA typically between €15 million and €75 million;
- Proven management teams and professional shareholders.
Senior secured loans with:
- First-ranking seniority;
- Financial and operational covenants to limit downside risk;
- Cash coupons to provide a regular income stream.
The strategy primarily focuses on investments in performing companies in defensive industries with characteristics including market-leading positions, strong cash flow generation, experienced management teams, and strong downside/structural protection. Our investments typically also provide companies with capital for growth and acquisitions.
Pemberton is typically the sole or lead lender to our portfolio companies, which allows our deal teams to negotiate bespoke bi-lateral lending agreements. It also allows our deal teams to have regular access to management and financial information that enables us to closely monitor loans post-close.
Investment opportunities are sourced through Pemberton’s local origination teams, which have extensive and long-standing relationships with private equity sponsors, banks and advisors. We also source new opportunities directly from companies and management teams, particularly where we can provide incremental capital to support attractive M&A opportunities for existing portfolio companies.
The strategy is managed by Portfolio Managers, Robert Wartchow and Steven Craig.
1Source: Pemberton Capital Advisors LLP, December 2024. AUM defined as committed capital since inception.
2Includes recycled capital during the investment period.
3As at December 2024.
Meet the Team
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Steven Craig
Managing Director, Mid-Market Debt
Mid-Market Debt Latest Insights
Positioned for Prosperity
The growth and return opportunities for direct lending in Europe’s mid-market are highly attractive.With banks continuing to reduce lending volumes and increased market volatility reducing thepredictability of public financing markets, private credit has emerged as a robust solution for borrowersand LPs alike.However, direct lending portfolios have been tested by slower economic growth, the impact of […]
Private Debt Investor Expert Q&A
LPs are benefiting from higher asset level returns. This is a function of market dislocation over the last 24 months, a more pronounced absence of banks from the market and the rate hike cycle implemented by the European Central Bank, the Bank of England and the US Federal Reserve. This is benefiting our current fund […]
True Mid-Market
We believe that most of the Direct Lending capital in the market over the last 12 months has been directed towards the Upper MidMarket (deals with an Enterprise Value above €500 million), where investment opportunities are readily accessible through investment banks and sponsors.
Pemberton Outlook 2025
We believe the outlook for European Direct Lending in 2025 is positive. Lower European base rates are expected to support M&A activity, reduce borrowing costs, and drive default rates towards historic lows. This backdrop continues to fuel the systemic transition from traditional bank lending to long-term asset managers backed by pension funds and insurance capital. […]
Selected Recent Investments
MDF | Hippo & Exponent
A portfolio company of
Term Loan & Acquisition Facilities
February 2025
MDF | Valcon & Rivean Capital
A portfolio company of
Term Loan & Acquisition Facilities
January 2025
MDF | Finanzen net & Inflexion
A portfolio company of
Term Loan & Acquisition Facilities
January 2025
MDF | WATR Group & Castik Capital
A portfolio company of
Term Loan & Acquisition Facilities
December 2024
MDF | Spring Media – Kore & Two Circles
An add-on acquisition of
Acquisition Facilities
November 2024
MDF | Forward – Bridgepoint
a portfolio company of
Term Loan & Acquisition Facilities
November 2024
MDF | Castik Capital – Aidra Tech
a portfolio company of
Term Loan & Acquisition Facilities
September 2024
MDF | Kingsbridge – Exponent
a portfolio company of
Term Loan & Acquisition Facilities
August 2024
Find Out More About Our Other Strategies
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