Nuveen Churchill PCAP BDC Acquires BDC V for $347M, Absorbing $511M in Debt

Nuveen Churchill Private Capital Income Fund, or PCAP, completed its acquisition of substantially all the assets of Nuveen Churchill BDC V on May 1, 2026, paying nearly $347 million in cash consideration equal to BDC V’s net asset value as of April 29, the companies said.

PCAP funded the purchase price primarily through approximately $337.3 million in borrowings under its credit facilities with Bank of America and the Bank of Nova Scotia. The remaining $9.6 million was settled on a net basis. PCAP also assumed all of BDC V’s liabilities, including $511 million of outstanding indebtedness under BDC V’s credit facility.

BDC V’s shareholders approved the transaction at a virtual meeting held April 30, one day before closing.

Both funds are regulated as business development companies focused on U.S. core middle market companies with annual earnings before interest, taxes, depreciation, and amortization between $10 million and $100 million. Both are externally managed by affiliates of Nuveen, the investment management division of the Teachers Insurance and Annuity Association of America: PCAP by Churchill PCIF Advisor LLC, and BDC V by Churchill Asset Management LLC. Churchill also serves as a sub-adviser to PCAP.

AltsWire first reported the merger in mid-April, when the boards announced the definitive agreement. At that time, Ken Kencel, president and chief executive officer of both funds, said the transaction was designed to deliver “meaningful long-term value” to PCAP shareholders while facilitating an “efficient wind-down” for BDC V.

The deal is expected to improve PCAP’s portfolio balance and reduce concentration, the company said. Post-transaction, PCAP’s top 10 investments are projected to represent approximately 9% of the overall portfolio, down from 11% pre-transaction. The larger combined asset base is expected to spread fixed costs and improve access to financing, according to PCAP.

BDC V began operations in August 2025. As of Dec. 31, 2025, approximately 55% of its assets were already held within PCAP, and it reported no investments on non-accrual with a weighted average internal risk rating of 4.0, which BDC V described as the initial rating typically assigned at the time of investment origination.

PCAP previously completed the acquisition of substantially all of the assets of another BDC, Nuveen Churchill Private Credit Fund, or NCPCF, in December 2024.

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