The private equity firm Platinum Equity announced last week they had offered to buy Johnson & Johnson’s blood glucose monitoring product for about $2.1 billion. The LifeScan Inc unit was one of several J&J businesses focused on diabetes devices. The medical products giant had apparently experienced declining revenues and squeezed margins in that arena and…
Mergers and acquisition financings in the healthcare space for middle market issuers have grown steadily since the credit crisis.
Second lien issuance reaches $6.8B so far in 1Q18 Syndicated and privately placed second lien loan volume has reached US$6.8bn so far in 1Q18, which is not too far behind 4Q17’s volume of US$8.6bn. Issuers continue to rely on second lien facilities to maximize their leverage as 61% of the second liens tranches have been…
Source: LevFin Insights Source: LevFin Insights Source: Lipper Contact: Robert Polenberg robert.polenberg@levfininsights.com
Percentage of Deals with >6x Adjusted Total Leverage (M&A-Related vs. LBOs) Contact: Steven Miller
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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…
Is Corporate VC hurting PE? PE investors are no strangers to competition. Fellow PEGs and strategic buyers have been around since the beginning, and family offices and fundless sponsors are fast becoming significant players in the middle market. A new hybrid competitor is starting to flex its muscle, almost undetected by the broader industry: corporate…
Thirst for yield overshadows other concerns Worries over market valuations are being suppressed by investors still keen to embrace the private credit and private equity markets. In our limited partner survey conducted recently, North American respondents told Private Debt Investor their biggest macroeconomic concern was “extreme market valuations”. On a scale of 1-5, investors registered…