The private credit landscape is entering a defining phase: no longer an “alternative”, it has become a core financing pillar across markets. Yet growth is not uniform — and neither are the structures, uses, or lender expectations.
As we move into 2026, the question for founders, CFOs, and boards is no longer “Should we consider private credit?” but rather:
Below, we break down the emerging patterns shaping global private credit — and what they mean for businesses planning to raise capital in 2026.
The US remains the world’s largest private credit market, with estimates placing it at ~USD 1.8T. But the notable shift isn’t size — it’s complexity.
Lenders are moving beyond direct lending into:
Competition is compressing spreads — but raising underwriting expectations.
US businesses are using private credit predominantly for:
| Use Cases | Trend | Notes |
| M&A financing | Strong | Particularly roll-ups and buy-and-build strategies |
| Refinancing | Strong | As maturities approach, especially where banks have pulled back |
| Working capital | Steady | Especially with ABL and recurring revenue structures |
| Growth capital | Selective | Reserved for businesses with strong unit economics |
The US trend is clear: flexibility over cheapest pricing.
The European market continues to expand — not at the pace of the US, but with rising sophistication.
Key themes emerging:
Unlike the US, Europe presents fragmentation and variability: structure, security, enforcement and covenant expectations shift meaningfully between Germany, France, the Nordics, and the UK.
Companies are deploying private credit for:
Private credit in Europe is becoming a strategic instrument — not a fallback.
APAC remains the fastest-growing private credit region globally — and India is the centre of gravity.
With USD 9B in private credit deal value recorded in H1 2025 (+53% YoY), investors are expanding Asia-focused desks, exploring cross-border structures, and backing sectors aligned with digitalisation and infrastructure agendas.
Key drivers:
Private credit is enabling:
This region’s rise is underpinned by one reality: speed. Deals close in weeks — not quarters — when backed by clean data, governance readiness, and strategic clarity.
Private credit is no longer a single-purpose instrument. Its role now varies across the business lifecycle:
| Company Stage | Primary Use Case | Structure Examples |
| Scaling (Series C+) | Growth capital | Venture debt, hybrid debt, revenue-based lines |
| Mid-market / profitable | Acquisition financing | Unitranche, mezzanine, PIK-toggle, NAV loans |
| Asset-heavy sectors | Capex & infrastructure build | ABL, structured debt, project finance |
| PE-backed platforms | Secondary liquidity / refinancing | NAV-backed financing, continuation vehicles |
| Senior secured + working capital overlays | Working capital + expansion | Senior secured + working capital overlays |
The fastest-growing segment globally?
NAV-backed structures and hybrid credit tied to acquisitions and liquidity events.
Access to capital will be determined by readiness, not just market appetite.
Expectations now include:
This is especially true for borrowers seeking more flexible structures (NAV, hybrid, subordinated, or covenant-light).
The most successful borrowers share three characteristics:
Private credit is maturing — and with that maturity comes both opportunity and responsibility.
For businesses that approach fundraising with clarity, governance, and strategic intent, 2026 offers real leverage: faster execution, customised structures, and capital aligned with growth ambition.
For others, the environment may feel unforgiving — high rates, tightening spreads, and stricter lender discipline will penalise reactive fundraising.
The winners will be the companies who treat capital planning as a strategic capability — not a late-stage administrative step.
Considering private credit or structured finance in 2026?
Speak to the Fuse Capital team for tailored guidance based on sector, growth stage, and funding intent.