What characteristics of loans will cause the biggest problems in the future? When asked what characteristics of loans determine which middle market lenders will see the biggest problems in the future at LPC’s 7th Annual Middle Market Loans Conference, earlier this month, half of respondents chose weak documents, including aggressive EBITDA add-backs. Another 35% said…
UK Dominates European Private Debt Europe is the second most active region for private debt after North America, but the scale and nature of activity varies widely throughout the region. While the potential investment opportunities and industries are more diverse, the fund management industry is very homogenous, and is dominated by firms based in the…
Source: LevFin Insights Source: LevFin Insights Source: Lipper Contact: Robert Polenberg robert.polenberg@levfininsights.com
European senior debt is a big winner – for only a few managers What’s better than being on top, both in the capital structure and fundraising totals? European senior debt funds collected a record amount of cash in the first quarter, but notably, the period had the fewest number of fund closes. We conclude that…
Growing competitiveness in the buyout market is resulting in a variety of pressure points being applied by private equity sponsors to the lenders who finance their deals. Lines are blurring in the steps between buyers and financing sources – term sheet to commitment letters to credit agreement. Today, corporate finance attorneys tell us, a detailed…
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…
Contact: Marina Lukatsky marina.lukatsky@spglobal.com
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EBITDA Addbacks: Percentage of Loans with Uncapped Synergies & Cost Savings Contact: Steven Miller