Goldman led the Mercer refinancing and should earn underwriting fees and increased syndicated loan business, which supports its revenue mix.
Leading this Mercer Advisors refinancing puts Goldman in the center of growing syndicated loan activity and likely raises its underwriting fees and deal flow. The borrower shift from private credit to syndicated loans reduces lenders' per-loan yields, but Goldman benefits from more volume and fees.
KKR held part of the higher-rate private credit that Mercer is repaying, which could reduce its private-credit interest income as loans move to banks.
Ares held private credit that Mercer will repay, which may reduce Ares's yield-generating loan portfolio if more borrowers move to bank loans.
BlackRock-held private credit will be replaced by a cheaper syndicated loan, likely lowering future interest income from that position.
Apollo-managed funds held the higher-rate debt being repaid, which could shrink private-credit yields if this trend continues.
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