Deerpath Capital Closes Seventh Flagship Fund, Exceeding its $2 Billion Equity Target

NEW YORK, Dec. 18, 2025 /PRNewswire/ -- Deerpath Capital Management, LP ("Deerpath"), a leading provider of cash-flow-based senior debt financing to sponsor-backed U.S. lower middle market companies, today announced the closing of Deerpath Fund VII ("Fund VII"). The fund exceeded its $2 billion equity target and, together with anticipated leverage, is expected to support approximately $3.5 billion of total investable capital.

Fund VII continues the firm's 18-year track record of financing private equity-backed businesses across diverse industries. Since inception in 2007, Deerpath has invested more than $14 billion across over 1,200 transactions, maintaining a consistent focus on lower middle market senior direct lending. The platform is further strengthened by Deerpath's programmatic CLO issuance, which totaled $1.6 billion across three transactions in 2025 and enhances the firm's ability to efficiently finance and deploy capital.

"The success of Fund VII reflects the strong, long-term partnerships we've built with our global investor base," said Antonella Napolitano, Global Head of Investor Relations and Capital Formation. "Investors continue to value our disciplined underwriting, private equity-style diligence, careful monitoring, and consistent performance throughout market cycles. We thank our partners for their continued trust and support."

Fund VII received strong support from both existing and new investors, accepting commitments from over 70 limited partners in the U.S., Canada, UK, Germany, Switzerland, and Korea.

Deerpath's scaled origination network, regionally based underwriting teams, and strong sponsor relationships enable the firm to consistently source and structure senior secured loans across the lower middle market. In 2025, Deerpath was recognized as a leading U.S. direct lender by Octus, 9fin, and KBRA Direct Lending Deals (KBRA DLD), and was named one of the top private credit firms of the year by GrowthCap.

About Deerpath Capital Management, LP

Founded in 2007, Deerpath Capital Management, LP is a leading provider of customized, cash-flow-based senior debt financing to sponsor-backed U.S. lower middle market companies. The firm has maintained a singular focus on this segment for nearly two decades, investing over $14 billion across more than 1,200 transactions and managing approximately $9 billion in AUM today. Deerpath operates through regionally based U.S. origination and underwriting teams supported by global investor coverage across major markets. Deerpath's deep experience, strong sponsor relationships, disciplined credit philosophy, and comprehensive lower middle market platform collectively define the Deerpath Difference. For more information, please visit www.deerpathcapital.com. 

Media contact:
Eli Kapsack
Profile Advisors (On behalf of Deerpath Capital)
[email protected]

SOURCE Deerpath Capital Management, LP