Private credit has emerged as one of the most important growth areas in global finance. As traditional banks retreat under regulatory pressure and capital constraints, businesses, infrastructure projects, and middle-market enterprises are increasingly turning to private lenders. For investors with stable capital and disciplined underwriting, this shift creates an opportunity to capture premium yields, strong contractual protections, and long-term equity-like upside through carefully structured special situations.
Bank Deleveraging → Post-2008 regulation (Basel III, Dodd-Frank) has reduced banks’ lending capacity, leaving gaps in corporate and project finance.
Yield Gap → Investors continue to seek alternatives to low-yield sovereign bonds and volatile equity markets.
Customization & Flexibility → Private lenders negotiate terms directly with borrowers, enabling covenants and structures tailored to risk.
Institutional Acceptance → Family offices, pensions, and endowments are increasingly allocating to private credit as a diversifying core strategy.
Serapis Global pursues private credit and special situation opportunities that combine downside protection with asymmetric upside. Our strategy includes:
Secured Private Credit
Senior loans collateralized by assets, receivables, or cash flows.
Emphasis on contractual protections, strong covenants, and conservative leverage.
Discounted Debt Acquisitions
Purchasing distressed or discounted debt where recovery potential provides equity-like upside.
Actively engaging in restructurings to unlock hidden value.
Private Equity Secondaries
Acquiring private equity stakes at discounts in secondary markets, where liquidity-constrained sellers create opportunities for patient buyers.
Selective Venture Capital
Targeted investments in early-stage companies where valuation discipline, technological potential, and macro themes align.
Focus on ventures tied to secular transformations — energy transition, supply chain technologies, financial infrastructure — where long-term optionality outweighs short-term volatility.
Opportunistic Control Transactions
Potential acquisition of entire companies in extraordinary situations where deal structure permits modest debt levels.
Use of PIPE financing (Private Investment in Public Equity) to provide capital directly to listed firms at attractive terms.
Execution of leveraged buyouts (LBOs) only when valuations, financing costs, and exit strategies combine to offer asymmetric opportunity.
Exploration of post-acquisition spin-offs or carve-outs to unlock hidden value and refocus enterprises.
Private credit and control transactions are inherently cyclical. In liquidity booms, competition compresses spreads and valuations rise. But in downturns — when banks withdraw, borrowers face refinancing cliffs, and valuations reset — the opportunity set expands dramatically. Distress creates entry points into loans, equity, or entire enterprises at fractions of intrinsic value. Permanent capital allows Serapis Global to act countercyclically, extending credit, acquiring assets, or purchasing companies when others are forced to retreat.
Investments in private credit and special situations offer:
Consistent Income → Contractual interest payments with attractive spreads over public debt.
Downside Protection → Asset-backed structures, seniority, and covenants safeguard capital.
Asymmetric Upside → Discounted debt, equity secondaries, and opportunistic acquisitions provide equity-like returns.
Control Premium → Whole-company acquisitions in dislocated markets allow for active restructuring, spin-offs, and long-term value creation.
Diversification → Exposures uncorrelated to public equity and bond markets.
Global fragmentation, rising rates, and heightened volatility are expanding the role of private capital. As borrowers seek alternatives to traditional bank lending, and as companies face refinancing stress or valuation resets, opportunities for private lenders and opportunistic acquirers multiply. Market dislocations are generating chances to:
Extend credit at superior terms.
Acquire discounted private equity stakes.
Restructure distressed enterprises.
Execute selective control transactions that unlock hidden value.
By combining conservative lending, opportunistic acquisitions, and the flexibility to act across capital structures, Serapis Global aims to build a private credit and special situations vertical that balances income, protection, and optionality — an essential complement to our liquid macro portfolio and long-term asset holdings.
For additional information please get inn touch: Contact Form or direct: contact@serapisglobal.com