With a halving in the size of investment loans granted by banks to local SMEs in Poland over the last five years—adjusted for inflation and GDP growth—these businesses are seeking alternative sources of financing, such as private debt.

CVI now plans to allocate 300 million euros to its second institutional direct lending fund, focused on Central Europe. The fund aims to invest in transactions below 25 million euros, addressing a gap CVI has identified in SME banking finance.

According to Marcin Leja, Partner and CEO of CVI, there is a growing number of significant transactions in the Central and Eastern European region, accompanied by increasing interest from renowned brands such as Kartesia, Ares Management Corporation, Idinvest Capital, KKR, PCP, Arcmont Asset Management, Muzinich & Co, and others.

Learn more in the article:

https://www.privatedebtinvestor.com/regional-guide-lps-warming-to-opportunities-in-central-and-eastern-europe/