UBS Group has established a tie-up with General Atlantic, aiming to support private credit opportunities.

This collaboration is intended to provide both investing clients and borrowers access to a wider range of direct lending and credit offerings.

Last month, Bloomberg reported about UBS Group being in advanced talks with General Atlantic for entering the private credit space.

The partnership leverages the existing cooperation between the two firms, integrating UBS’s advisory and investment banking capabilities with General Atlantic’s global network and expertise in private credit investment.

The alliance will enhance the GA Credit platform by providing access to proprietary deal flow and tailored solutions throughout various stages of the business lifecycle.

GA Credit will lead investment activities, utilising UBS’s origination strengths and managing a dedicated private credit team formed from professionals at both GA Credit and UBS Asset Management’s Credit Investments Group (CIG).

This partnership will enable CIG to source additional private credit assets for its multi-credit strategies.

The focus of the strategic partnership will be on providing senior secured direct lending financing to companies located in North America and Western Europe.

It will also introduce a complementary strategy to Atlantic Park, which is expected to benefit from increased origination opportunities resulting from this partnership.

General Atlantic chairman and CEO Bill Ford said: “We are excited to bring together General Atlantic’s deep expertise in private credit investing with UBS’s strengths in origination, global client relationships, and advisory services.”

This initiative is expected to bolster UBS’s investment bank private markets capabilities, particularly in the Americas, by offering private credit solutions across mid- and large-cap structures, including both corporate and sponsor-backed assets in a capital-efficient manner.

UBS Group CEO Sergio Ermotti said: “We’re pleased to enter this strategic partnership with General Atlantic, leveraging our two firms’ individual strengths to jointly deliver a broader range of innovative private credit solutions.”

General Atlantic received legal counsel from Paul, Weiss, Rifkind, Wharton & Garrison, while Latham & Watkins was legal counsel to UBS.