Barings Private Credit Corp Issues $350M 6.50% Notes Due 2031

What Happened
Barings Private Credit Corporation filed an 8‑K on August 18, 2026, announcing the issuance of $350,000,000 aggregate principal amount of 6.500% notes due August 18, 2031 under a Third Supplemental Indenture with U.S. Bank Trust Company, N.A. The notes pay interest semi‑annually (Feb 18 and Aug 18, starting Feb 18, 2027), are unsecured, and were sold in a private placement (Rule 144A/Reg S). Net proceeds to the company were approximately $341.6 million. The company also entered into a $350.0 million notional interest rate swap tied to the issuance and a Registration Rights Agreement obligating it to file an exchange registration statement.

Key Details

• Principal and rate: $350,000,000 of 6.500% notes maturing August 18, 2031; interest paid semi‑annually.
• Proceeds and use: Net proceeds ≈ $341.6M; planned uses include repaying credit facility debt, making portfolio investments, and general corporate purposes.
• Swap hedge: $350M interest rate swap — company receives fixed 6.500% (semi‑annual) and pays compounded daily SOFR + 2.4875% (semi‑annual), maturing Aug 18, 2031.
• Registration rights: Company must file a registration statement to exchange the private notes for registered notes within 365 days or pay additional interest if deadlines are missed.
• Ranking & covenants: Notes are general unsecured obligations (pari passu with other unsecured unsubordinated debt, junior to secured debt and structurally junior to subsidiary debt). Indenture includes covenants (including compliance with certain Investment Company Act asset coverage provisions and delivery of financial information if reporting status changes) and a change‑of‑control repurchase at 100% principal + accrued interest.

Why It Matters
This financing adds $350M of unsecured, long‑term debt to Barings Private Credit’s capital structure and provides liquidity to reduce short‑term borrowings and support new investments. The interest rate swap largely offsets variability between the fixed coupon and the company’s floating‑rate exposures. Registration rights mean the notes should become publicly tradable if the company completes the exchange registration. Investors should note the notes’ unsecured status, the covenants tied to investment‑company asset coverage rules, and the maturity profile (2031) when assessing the company’s leverage, interest cost, and refinancing timeline.