Mid-Market Direct Lending
WHAT WE DO
We finance ambitious mid-market companies across Europe that demonstrate both the willingness and the ability to make a positive contribution to the transition toward a more sustainable future.
Our funding is flexible and bespoke. We combine the speed and decisiveness adopted from an entrepreneurial mindset with institutional backing to underwrite sustainability-linked finance, deploying funds across the entire capital stack.
We firmly believe that financial returns and sustainability are inherently connected* and have adopted a no-compromise approach, placing equal emphasis on sustainability and credit quality in all our investment decisions.
Our Approach
We strive to contribute to a more sustainable future by investing in companies with the intention to generate positive, measurable social and/or environmental impact alongside a financial return. We proactively engage with borrowers and sponsors to add value in this respect.
We categorise investments as sustainable investments if they contribute to an environmental and/or social objective through either products and services and/or business operations by credible transition commitments.
Impact Report 2025
Our 2025 Impact Report details the sustainability outcomes delivered through our Mid-Market Direct Lending strategy. It demonstrates how our capital, active engagement and investor contribution aim to support positive real-world impact.
Through portfolio case studies and insights into our impact approach, the report provides a transparent account of the progress made over the past year and the measurable sustainability outcomes we seek to achieve.
Sustainable food
How the world farms and distributes food is changing, driven by the competing demands of a growing global population and the necessity to reduce carbon emissions. Structural modifications to the food supply chain and the need for innovation presents Colesco with an opportunity to deploy its deep sector expertise
ENERGY TRANSITION
The path to net zero requires an estimated €28 trillion in investments worldwide*. We focus on companies driving the substitution of fossil fuels with renewable energy sources and those developing technologies to reduce overall energy consumption. Colesco empowers businesses throughout the energy transition value chain, supporting products and services which are catalysing this critical transformation
* BloombergNEF New Energy Outlook: Europe, May 2023
INCLUSIVE SOCIETY
Businesses contributing to the quality, affordability, and accessibility of essential services represent direct and critical enablers of the transition to a more sustainable and equitable society. This includes healthcare innovations (from personalised medicine to preventive and mental health solutions), educational advancement (such as remote learning platforms and lifelong education models), and digital technologies that enable greater inclusion.
LENDING CRITERIA
We primarily invest in directly originated senior secured debt issued by private equity backed or privately-owned mid-market companies.
EBITDA
€10m – €100m
INVESTMENT SIZE
€50m – €250m
Financing Solutions
Growth capital
Capital solutions for companies with ambitious objectives
LBO/M&A
Tailored solutions for strategic and financial sponsor-led acquisitions
Capital structure optimization
Flexible solutions ranging from senior debt to preferred equity
Financing Products
SENIOR CAPITAL
SENIOR SECURED LOANS
ACQUISITION AND CAPEX FACILITIES
UNITRANCHE SOLUTIONS
JUNIOR CAPITAL
SUBORDINATED LOANS
MEZZANINE FINANCE
PREFERRED EQUITY
SUSTAINABILITY-LINKED KPIs
We have established sustainability-linked loan structures, which offer financial incentives for achieving ESG and impact targets, as standard for our investments.
This approach is guided by the Loan Market Association’s Sustainability-Linked Loan Principles.
OUR COMMITMENT
Integration of sustainability-linked KPIs in all
primary investment documentation
Our Investment Team
