Vista Credit Sets Sights on Hard-Hit Software Loans Via New Fund

Vista Equity Partners’ credit-investing arm is raising $250 million for a new fund that will buy the beaten-down debt of software companies, seeking to capitalize on recent selloffs tied to concerns over artificial intelligence.

The Vista Tactical Credit Fund will target a mix of private and broadly syndicated loans, according to a person with knowledge of the situation. It will focus primarily on software and technology companies serving the finance, compliance and health-care end-markets, and in particular those with a strong moat against AI disruption, the person said.

The new fund could potentially purchase the debt of Vista-backed companies ...