Citi and BlackRock's HPS Launch €15 Billion Private Credit Push in Europe
Citi and BlackRock’s HPS Investment Partners have joined forces to launch a €15 billion private capital programme. The initiative will focus on financing debt opportunities across Europe, the UK, and eventually the Middle East over the next five years. Both firms aim to provide flexible funding solutions to a wide range of borrowers.
The programme will target borrowers with operations in Continental Europe and the UK, with plans to extend coverage to the Middle East later. Eligible transactions will cover various sub-investment grade debt instruments, offering tailored financing options.
Citi will leverage its investment, corporate, and commercial banking networks to identify and source opportunities. Meanwhile, HPS will contribute its capital and expertise in structuring complex deals. The partnership combines Citi’s strong client relationships and origination capabilities with HPS’s deep experience in private credit. John McAuley, Co-Head of Debt Capital Markets at Citi, highlighted the growing demand for bespoke private credit solutions. He expressed enthusiasm about working with HPS to meet this need. Matthieu Boulanger, Partner and Head of Europe at HPS, also welcomed the collaboration, noting its potential to expand direct lending across the EMEA region.
The €15 billion programme will run for an initial five-year period, focusing on sub-investment grade debt. By combining Citi’s origination strength with HPS’s capital and structuring skills, the partnership aims to deliver flexible financing to businesses in key markets. The initiative reflects a broader push to meet rising demand for private credit in the region.
