Unitranche spreads continue to decline amid intense competiton in the middle market Even though the leveraged loan market has seen some modest investor pushback on pricing and terms due to a voluminous supply market, the middle market remains insulated and heated. Lenders indicate no pushback is evident on smaller deals as the middle market remains…
Distressed Europe Overall fundraising for private debt in Europe has taken a plunge in 2018, but distressed strategies are bucking the trend. With only just less than $11 billion raised for private debt investment in Europe so far this year (at the time of publication), fundraising activity in the region is a far cry from…
Are small funds losing ground? Download PitchBook’s report here. Another quarter, another round of outperformance for large funds. Rolling one-year horizon IRRs have been consistent of late when broken down by fund size, and $1B+ PE funds once again bested their smaller peers in recent returns. Much of that recent outperformance might be traced back…
North America-Focused Mezzanine Fundraising: Off to a Strong Start As at May 2018, seven North America-focused mezzanine funds have held a final close, securing a total $4.1bn in capital. These fundraising levels put 2018 on path to exceed 2017 activity: in 2017, 17 North America-focused mezzanine funds closed and raised an aggregate $5.2bn. This represented…
Is PE performance persistent? Download PitchBook’s Report click here. “Past performance does not guarantee future results.” Finance professionals have probably read that boilerplate disclosure so many times they may not even notice it anymore. And while that phrase has arguably reached truism status, there is a residual belief that past performance is relevant to future…
U.S. buyout activity keeps up the lively pace, boosting LBO issuance Leveraged buyout activity has been keeping up a lively pace this quarter helping to drive LBO loan issuance higher. So far this quarter there has been US$23.9bn in completed LBO issuance, on par with 1Q18’s total of US$24.7bn. This will be the seventh consecutive…
Trending European Senior debt is finding a home in a rapidly maturing private credit market. All eyes have turned to Europe for senior debt fundraising with the bulk of funds investing at the top of the capital structure targeting the continent. Of the $78.63 billion credit managers are seeking for senior funds, some $39.15 billion…
Private Debt: A Slow Start for Europe Historically, Europe and North America have accounted for the lion’s share of the private debt fundraising market. However, Europe-focused fundraising did experience a slight downtick in levels in the first quarter of 2018, with just four funds reaching a final close and securing an aggregate €1.9bn. By contrast,…
In the political sphere, Europe and North America appear to be going on separate ways since the election of Donald Trump, as was evident in the recent G7 talks. In the credit world, however, they are closely correlated, reflecting the global scope of corporates on both sides of the Atlantic…. Subscribe to Read MoreAlready a
AT&T legal ruling bodes well for M&A deals; Loan market backs over US$200bn in 2Q18 The debt capital markets are feeling good about M&A and more specifically, the unabated surge in large transformative acquisition deals. Total M&A transactional volume so far is up 39% year over year through June 11 and the highest level since…