Fitch’s Privately Monitored Middle Market Portfolio Overview, 3Q23 Fitch projects EBITDA leverage for 2023 to be around 6.0x, down slightly from 6.3x in 2022…. Subscribe to Read MoreAlready a member? Log in here...
Tracking the number of new participants in private debt This year will see the most US first-time funds in a decade, with 35 funds closed or in market as fund managers look to capitalize on demand for private debt (PD). Most of these… Subscribe to Read MoreAlready a member? Log in here...
ABL Deep Dive: Numbers don’t tell entire story Over US$126bn in asset based loan volume was completed in 1-3Q23 which at first glance suggests record total for the first nine months of the year – something lenders are certainly not feeling. And there are several reasons for this. In 3Q23 alone,… Subscribe to Read MoreAlready
A big drop in mega-buyouts Download PitchBook’s Report here. $1B+ deals are set for a big decline this year, according to PitchBook’s Q3 US PE Breakdown. Through Q3, about $156 billion has been invested via billion-dollar deals, a far cry from the $352 billion seen last year. It’s an even further drop compared to 2021, when almost half…
U.S. Middle Market CLOs’ ‘CCC’ Exposure Rising in Third Quarter Negative rating migration has increased the average exposure to assets rated ‘CCC+’ or below to 19.4%, up 4.3% compared to 2Q23, across U.S. middle market (MM) collateralized loan obligations (CLOs) under surveillance by Fitch Ratings…. Subscribe to Read MoreAlready a member? Log in here...
What’s next for distress? PDI’s Germany Forum examined the upcoming opportunity set for distressed and special situations as a refinancing wave looms. “This is the best [distress] opportunity we’ve seen in a decade,” said a panellist at the PDI Germany Forum last week, referring to what he described as around 30 percent of the total…
US market unitranche spreads decreased in 3Q23 In 3Q23, US unitranche blended spreads declined for the second straight quarter. The average unitranche blended spread, including both middle market and large corporate deals, was 625bp in 3Q23, 29bp lower than 2Q23’s average. This aligned with Refinitiv LPC’s 4Q23… Subscribe to Read MoreAlready a member? Log in
Private debt dry powder at all time high The post-pandemic monetary environment has spurred the growth of the global private debt industry. Assets under management, standing at $1.6tn as of March 2023, almost doubled compared to the end of 2019…. Subscribe to Read MoreAlready a member? Log in here...
1Q-3Q23 US Syndicated ABL volume up 5% to US$127.0bn US syndicated ABL volume was up 5% to US$127.0 billion during 1Q-3Q23. The first nine months of 2023 set a new high for the US ABL market, however, a significant portion was completed during the first half as borrowers adopted SOFR based constructs. Only US$12.9 billion…
A historically slow exit market Download PitchBook’s Report here. PE exit activity resumed its downward trend in Q3, according to PitchBook’s Q3 US PE Breakdown. $44.1 billion was exited last quarter, the lowest quarterly total in ten years, exempting the COVID quarter of Q2 2020. While that’s very low, it could also be a bottoming out….