Software Sector Loses Dominance in Leveraged Loan Market
The software sector's dominance in the U.S. leveraged loan market has significantly declined, with its share of new loans dropping to a decade low. In 2026, only 9% of all syndicated loans came from software companies compared to over 21% in 2025 and a peak of 24% during the pandemic deal boom. This shift is attributed to reduced private equity activity due to tighter financing conditions.
Topics: leverage lending market private equity software sector