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Private credit glossary · Data updated Oct 27, 2026

What is a unitranche loan?

A unitranche loan blends senior and subordinated debt into a single facility with one blended interest rate, giving a borrower one lender, one set of documents, and a faster close than a two-layer structure.

328

active Unitranche funds in this site's database

$10M–$60M

median confirmed check size, from 65 source-confirmed ranges

How it works

  • One facility replaces the traditional senior + mezzanine split; the lender internally prices the blended risk.
  • A single blended rate sits between pure senior and mezz pricing.
  • Simpler docs and intercreditor terms mean faster closes — a main reason middle-market borrowers pick it.

When borrowers use it

  • Middle-market buyouts and acquisitions where speed and certainty matter.
  • Borrowers who want one relationship instead of negotiating an intercreditor agreement.

Related terms

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