Citigroup Inc (NYSE:C) is reportedly poised to venture into direct lending, aiming to debut this new strategy by early January, reflecting a broader trend among banks seeking to tap into the burgeoning $1.6 trillion private credit market.

The initiative aims to complement Citigroup's existing broad syndicated leveraged finance business.

These financial institutions are all seeking entry into the swiftly expanding realm of private debt, disrupting traditional avenues for financing by offering alternatives to high-yield bonds and leveraged loans.

Price Action: C shares are up 0.20% at $45.18 during the premarket session on the last check Wednesday.

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