Colbeck Launches $400M Direct Lending Strategy
Colbeck Capital Management has launched Colbeck Strategic Income, a new direct lending vertical backed by approximately $400 million in initial capital commitments from a mix of existing clients and new investors. The vehicle targets first-lien senior secured loans to middle-market companies and is designed to complement the firm’s existing Colbeck Strategic Lending platform, which manages more than $1.7 billion and closed its third fund in December 2024 at 40% above target.
The new vertical is positioned at the larger end of the middle market, focusing on more established companies with what Colbeck describes as attractive risk-adjusted profiles. Six investments have been made to date. The strategy emphasizes downside protection and structural flexibility, with a preference for borrowers undergoing meaningful operational or strategic transformation.
“Over the years, as alternatives markets have matured and our sourcing capabilities have deepened, we have seen a growing pipeline of high-quality opportunities in larger, more established middle-market companies that offer an attractive risk-adjusted profile,” said Jason Colodne and Jason Beckman, co-founders and managing partners, Colbeck Capital Management.
Colbeck has originated more than $3 billion in transactions since its founding and employs 25 investment professionals with experience across multiple credit cycles.
The launch of CSI reflects a broader pattern in private credit, where established lenders are extending upmarket as deal flow in the core middle market grows more competitive and institutional appetite for the asset class continues to expand.
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