PactFi has raised USD 25 million in a Series A round to expand its operational platform for the private credit market.
The round was led by 7RIDGE's Ecosystem Impact Fund, with participation from Vestigo Ventures. The capital will be used to extend product coverage, accelerate market adoption, integrate AI into credit workflows, and expand the company's team.
The private credit market in the US has grown substantially over the past decade, rising from approximately USD 550 billion in 2016 to an estimated USD 1.7 trillion in 2026. Industry projections suggest the market could reach USD 3.5 trillion by 2028. Despite this scale, many firms and institutions continue to manage core workflows through disconnected systems, email, and spreadsheets, a model that introduces operational risk and limits visibility across the transaction lifecycle.
PactFi, founded in 2023 by industry practitioners, was built in direct response to these structural inefficiencies. The platform offers cross-counterparty workflows within a shared operating environment, capturing and structuring data across the private credit lifecycle and enabling straight-through processing with centralised visibility.
Planned use of capital
According to the announcement, the Series A proceeds will fund expansion across four areas. On the product side, PactFi intends to extend workflow coverage beyond deal close to include post-close servicing and secondary transfers. Moreover, go-to-market efforts will focus on deepening existing counterparty relationships and broadening adoption among service providers and administrative agents.
The company also plans to integrate AI directly into credit-specific workflows within its core platform, rather than deploying standalone tools, a distinction it frames as embedding automation at the execution layer. Headcount growth across product, engineering, and client-facing functions is also planned.
Security and compliance posture
As institutional participation in private credit expands, operational resilience and auditability are becoming central concerns alongside performance. PactFi holds ISO 27001 certification and SOC 2 Type II attestation, positioning it to meet the governance and security requirements of large asset managers operating under increasing regulatory scrutiny.
The funding round reflects broader investor interest in market infrastructure for private markets, where the gap between asset growth and operational sophistication has drawn attention from both technology providers and financial institutions seeking standardised, auditable processes.
