Exits are already down Download PitchBook’s Report here. Exit activity is bound for a tough year, as preliminary Q1 numbers confirm. Historically, first quarter exit totals are typically on the low end anyway; it’s common to see a lull coming off of fourth quarter sprints. Q1 2020 was slow even by that forgiving standard, down 37.3%…
“We did not underwrite for this.” So said the partner of a top-tier middle market private equity firm, speaking of the challenges dealing with the impact to businesses of #COVID-19. “We always model downside scenarios for investments,” told us. “But the zero revenue case wasn’t one of them. This is such a dramatic shift from […]
Monthly LBO lending decelerates, yet 1Q20 finishes strong; Outlook bleak LBOs decelerated in March, to 47% of monthly U.S. direct lending volume, according to Direct Lending Deals. The drop was from 63% in February, the biggest month for LBO volume since DLD started tracking transactions in mid-September last year…. Subscribe to Read MoreAlready a member?
Percentage of Loans with F&C Tranche Growers Contact: Steven Miller
Source: Cliffwater Direct Lending Index and BofA Merrill Lynch US High Yield Effective Yield The red line in the chart is the *Cliffwater Direct Lending Index (CDLI) current yield, which is based on the investment income of the underlying assets held by public and private BDCs. BDCs invest in middle market companies, and the Index…
Source: LevFin Insights Source: LevFin Insights Source: Lipper Contact: Robert Polenberg robert.polenberg@levfininsights.com
“As goes COVID-19, so goes the nation.” Paraphrasing the famous 1950’s dictum on General Motors’ relationship to the welfare of America highlights how the coronavirus has hijacked all aspects of the economy. There’s consensus that once the disease runs its course, commercial activity will come back. It’s also agreed that between now and then GDP…