Activity is picking up, especially in power generation, said Felipe Alonso, a managing director in Gramercy's capital solutions group based in Mexico City. He pointed to recent rule changes that have jump-started both new builds and mergers and acquisitions in the sector. Clearer guardrails are also freeing up projects that had been stuck in the approval pipeline, and those deals are now hunting for funding across the stack, from traditional bank loans to structured pieces like mezzanine and preferred equity. As Alonso put it, "I would say the activity has picked up, and one example is power generation."
President Claudia Sheinbaum is trying to lure private money into a grid that has struggled with blackouts, pairing new regulations to encourage participation with billions in public spending for transmission and generation. Together, those efforts have lined up with a notable recovery in electricity investment this year, as activity in power plants, renewables and infrastructure has helped accelerate the grid-modernization drive.
Gramercy forecasts annual Mexico commitments of $500 million to $600 million in 2027 and 2028, up from an estimated $400 million of new private credit commitments this year. During the past six years, the firm has put more than $1.6 billion into a diversified slate of private credit commitments in the country, with roughly $1.2 billion still outstanding. Recent transactions include a 2024 facility extended to EMPower, a Mexican independent power producer, plus a senior secured facility for Autocom, the car dealership, disclosed last month. Beyond energy, Gramercy is eyeing industrial real estate tied to nearshoring and logistics, and is pursuing asset-backed lending to credit originators that specialize in consumer financing and in small and medium-sized businesses.
Private credit in Mexico has been choppy: LAVCA counted 55 deals totaling $2.1 billion in 2024, followed by 60 transactions amounting to $1.1 billion in 2025. That still tops the $675 million deployed three years earlier. Outside Mexico, Gramercy sees room to invest in the Middle East even with the war underway.
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Per Gustavo Ferraro, who oversees capital solutions as a partner, the firm had no private credit exposure there before the conflict, but it has since completed one deal and is evaluating a second. The first transaction fits a broader trend around the digitalization of finance and payments. "With all the price and return expectation adjustments, we were well positioned to underwrite credit assets and incorporate the consequences of the conflict as part of our analysis," he said.
"We could underwrite it and feel very, very good about the risk return profile."
If you track income-oriented opportunities, watch where the dry powder is pointing. A friendlier rulebook and government-backed grid upgrades are steering fresh capital toward Mexican power, industrial real estate and consumer credit platforms. If commitments move from roughly $400 million this year toward $500 million to $600 million in 2027 and 2028, expect more issuers and structures competing for capital in those pockets of the market.
