More add-ons in the MM Download PitchBook’s Report here. The ratio of add-ons in the middle market is increasing, according to PitchBook’s Q2 2022 US PE Middle Market Report. That’s been an evergreen trend for the past decade, but it appeared to go into overdrive in 2022. Add-ons now account for 73% of all middle market…
Source: LevFin Insights Source: LevFin Insights Source: Lipper (Past performance is no guarantee of future results.) Contact: Robert Polenberg robert.polenberg@levfininsights.com
Leveraged loan & high yield bond default rate creeps up from recent lows Source: Fitch Ratings, Debtwire Par One area to watch as the Federal Reserve maneuvers a soft landing from inflation will be the credit health of leveraged borrowers in the face of prolonged economic pain caused by tightening monetary policy. August saw an…
Percentage of Loans with an MFN Sunset (Past performance is no guarantee of future results.) Contact: Steven Miller
APAC private debt fundraising steadies after record Q2 After a record 2019, when APAC’s private debt fundraising hit $12.1bn, the following years saw a drop in comparison. However, the ship appears to be steadying, as the $6.7bn raised in 2022 so far matched the $6.7bn raised during the same period a year earlier, thanks to…
Supply chain issues aren’t limited to bikes and baby formula. As the Fed withdraws liquidity from the banking system and investor cash exits public credit, it’s more challenging to deliver capital to traditional buyouts and M&A. In pivoting from a world of abundance to one of scarcity, credit markets are struggling to adjust. Direct lenders…
There’s an almost $400 billion gap between private equity and credit dry powder.
Why it’s time to revisit documentation Lenders have had a tough time at the negotiating table in a borrower-friendly market, but things may be changing. With economic clouds gathering, there is a sense that now is as good a time as any for investors/lenders to start flexing their muscles again in deal negotiations. Indeed, some…
Contact: Marina Lukatskymarina.lukatsky@pitchbook.com