Private Lenders Hire Restructuring Pros as Defaults Loom

After riding the relentless credit boom of the past decade, some of the biggest players in the $1.4 trillion private credit market are now amping up hiring of restructuring pros as they brace for an uptick in defaults.

Firms including Baringsand HPS Investment Partners are beefing up their teams of workout specialists, who have expertise in managing investments during a downturn, as rising interest rates and a darkening economic climate take their toll on corporate America.

Blackstone Inc.and Bain Capital have been adding in-house restructuring experts and assigning more distressed-credit responsibilities to existing employees over the past year ...