PennantPark forms $500 million joint venture with Hamilton Lane

PennantPark Floating Rate Capital Ltd. (NYSE: PFLT) announced the formation of PennantPark Senior Secured Loan Fund II, LLC, a joint venture with a fund managed by Hamilton Lane (NASDAQ: HLNE).

The joint venture will invest primarily in middle market loans consistent with PFLT's core origination and underwriting strategy. PFLT and Hamilton Lane have committed to provide a combined $200 million of notes and equity, with PFLT contributing $150 million and Hamilton Lane providing $50 million.

The joint venture intends to add a financing facility of $300 million, enabling the portfolio to reach $500 million initially. The companies anticipate beginning investments in the joint venture's portfolio in late September or early October.

"This new joint venture is another strategic step to broaden our impact as a meaningful core middle market direct lender and will expand our ability to provide senior loan solutions to core middle market sponsor and borrower clients," stated PFLT Chief Executive Officer Arthur H. Penn.

Nayef Perry, Head of Direct Credit at Hamilton Lane, said the partnership focuses on "what we believe to be high-quality middle-market credit opportunities" and complements Hamilton Lane's commitment to delivering private credit access to investors.

PennantPark Floating Rate Capital is a business development company that primarily invests in U.S. middle-market private companies through floating rate senior secured loans. Hamilton Lane manages approximately $986 billion in assets under management and supervision as of June 30, 2025.

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