Downward price flexes increase for third consecutive month Despite the volatility in the equity markets and a recent softening in loan trading levels, the demand for institutional loans in the primary market was at full throttle in October. Investor appetite was evident in price flex activity. In October, there were 23 downward price revisions on…
Can today’s multiples withstand a downturn? Download PitchBook’s Report here. Middle-market purchase price multiples have nearly doubled since 2009. To be sure, most metrics and indicators have bounced back substantially from the crisis, and private equity is no exception. PE valuations have risen moderately from year to year, sometimes in fits and starts, and now stand…
What Are Private Debt Investors Up to? A significant majority (60%) of investor searches issued in Q3 2018 for new private debt fund commitments in the next 12 months were for mezzanine funds, up from 45% of searches in Q3 2017. In fact, there has been an uptick in interest across all strategies, an indication…
Turning a blind eye? In Europe, talk of battening down the hatches for a change in circumstances seems at odds with a lack of appetite for European distressed strategies. “The more you sweat in peacetime, the less you bleed during war.” Turnaround specialist Richard Thomson of RLT Advisory reached for this striking Chinese proverb when…
Mario Draghi, in a press conference confirming that market rate expectations were intact, stated that the risks to the eurozone’s economy are “broadly balanced”. His view may have merit, but there is little doubt that the situation is looking more precarious than a few weeks ago. If negative sentiment does permeate the market and spark…
Barreling toward a record Download PitchBook’s Report here. US middle market PE activity is set to break records this year. Through Q3, more than 2,000 transactions have closed totaling $289 billion in investments. At that pace, 2018 is looking at more than 2,700 deals at more than $385 billion invested…. Subscribe to Read MoreAlready a member?
The growing gap between private credit’s haves and have-nots The top 10 firms have made up half of the capital collected over the past five years. The largest alternative lenders keep raising more money, according to PDI data. Examining the data collected for the PDI 50 – our ranking of the largest fundraisers over the…
At US$33Bn, YTD global green & ESG loan volume more than 2.5 times full year 2017 totals Global socially responsible financing continues to gain traction with nearly US$33bn in new green and ESG loan assets working their way through the market so far this year. With another 3 months left to 2018, year to date…
Looking at the Private Debt Funds in Market At the start of Q4 2018, there are 396 private debt funds in market seeking an aggregate $175bn in capital. This represents an increase of seven funds in market than at the start of Q3, but the funds currently in market are seeking $5.0bn less in aggregate…
After strong 2Q, 3Q18 ABL loan volume down 45%; 1-3Q18 totals 2% off y-o-y Consistent with behavior observed across the leveraged cash flow market, the asset based loan market saw a marked drop off in issuance in 3Q18, completing less than US$17bn in deals via retail syndication. These results represented a 45% decline in volume…