Pimco Raising New Credit Fund as Corporate Turmoil Accelerates

Pacific Investment Management Co. is raising a new credit fund, seeking to capitalize on falling debt prices and weak companies that need fresh financing as interest rates rise worldwide and economies weaken.

Pimco is aiming to gather billions for its fourth Corporate Opportunities Fund, which has been marketed since earlier this year, according to people with knowledge of the matter who asked not to be identified because the talks are private.

The Newport Beach, California-based fund manager has been making aggressive bets on beaten-down securities this year, drawing attention after it snapped up billions of dollars of leveraged debt backing ...