As we wrap up our series on direct lending in Europe, let’s examine the supply/demand dynamic we expect to drive deal activity for providers and users of private debt. As our Chart of the Week shows, European funds have almost $30 billion in dry powder available to support loans. On the supply side, private equity…
This week we continue our conversation with Ron Kubick, Managing Partner and founder of Cadence Credit Partners, an independent capital markets advisory firm that provides middle market companies (public, private, and sponsor owned) with capital markets advisory expertise when companies seek financing from traditional or alternative credit providers. Second of two parts – View part one The…
European debt funds have $28.8 billion in dry powder dedicated to direct lending; private equity has almost five times that to put to work. Source: Preqin; European Dry Powder – Private Equity & Direct Lending (USD bn)
Contact: Timothy Stubbs timothy.stubbs@spcapitaliq.com
Investors embrace HY ETFs as sentiment turns High yield credit has enjoyed a sustained rally over the past five weeks and investors have taken advantage through ETFs. High yield bond ETFs have seen five consecutive weeks of positive inflows Markit iTraxx Europe Crossover index has seen its spread fall from 486bps to 332bps Oil &…
How much has been raised to support non-bank direct lending in Europe? Figures are often cited in the media without asking related questions such as “What are they raising?” or “What’s their strategy?” Preqin recently reported about €31 billion was raised last year for “private debt.” Of that roughly 60% was for direct lending, with…
The equity, bond, and loan markets have all rebounded from their February lows as investor sentiment has improved. Multi-quote institutional loan bids are now at 92.24, up from a low of 90.48. High yield bond prices have posted a relatively bigger bounce, jumping 6 points from their low in February to an average of 90….
This week we chat with Ron Kubick, Managing Partner and founder of Cadence Credit Partners, an independent capital markets advisory firm that provides middle market companies (public, private, and sponsor owned) with capital markets advisory expertise when companies seek financing from traditional or alternative credit providers. The Lead Left: Ron, what type of companies are…
Fundraising for sixteen direct lending funds last year totaled just shy of $19 billion, nearly doubling the average 2014 fund size to $1.34 billion. Europe Focused Direct Lending Fundraising by Year Source: Preqin
PE funds from Recent Vintages Outpacing Those Hit by Financial Crisis The ramifications of the financial crisis are still apparent in the numbers posted by private equity funds. Let’s take DPI multiples as a sample metric for now; for vintages most affected by the crisis—2005, 2006 and 2007, as indicated above—the deleterious effects… Subscribe to