European Direct Lending Review & Outlook 2025 | Senior Debt Index

Published by Pemberton on May 16, 2025

The second edition of Pemberton’s European Direct Lending Report highlights the considerable growth of the private credit and direct lending markets across Europe. This comprehensive update concludes with an exclusive analysis of Lincoln International’s proprietary European Senior Debt Index (ESDI), presented by Richard Olson, Managing Director & Head of Valuations, Europe.

Per Richard, the European direct lending market has become a vital source of capital for private equity-backed middle market companies, demonstrating significant and sustained growth. Since its launch in Q4 2018, the ESDI has consistently outperformed the Morningstar European Leveraged Loan Index (ELLI) with higher total returns and lower volatility, offering unique opportunities for investors.

Looking to the future, both Pemberton and Lincoln identify robust growth opportunities in Europe’s core middle market. Request the full report to see all of Richard’s expert insights, or reach out to connect with a Lincoln expert to discuss the potential of leveraging ESDI data.

Click here to request the full report

Summary

  • The second edition of Pemberton’s European Direct Lending Report features Richard Olson’s expert insights into the growth of private credit markets across Europe and Lincoln International’s proprietary European Senior Debt Index.

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