Private debt AUM surpasses private real estate funds in North America Private debt assets under management (AUM) in North America exceed private real estate funds for the first time ever. As of September 2022, private debt AUM in North America reached $924.0bn establishing a lead over real estate’s $918.9bn…. Subscribe to Read MoreAlready a member?
UK dislodged from Europe’s top spot France saw a surge of deals in the second half of last year, but the UK should not be written off prematurely. The Deloitte Private Debt Deal Tracker for the second half of last year caused something of a stir when it positioned France ahead of the UK for…
Founder-backed M&A is doing better Download PitchBook’s Report here. Founder-owned businesses are more motivated to sell in the current environment. PitchBook’s latest Analyst Note, Founder-Owned Businesses are Attractive M&A Targets, found a sharp uptick for “nonbacked sellers”—companies with no private backing or corporate ownership. Companies backed by PE firms are, for the most part, on the…
BDC first-lien debt valuations increased but second-lien and subordinated marks fell in 1Q23 BDC first-lien debt valuations climbed but second-lien and subordinated debt marks fell in 1Q23. The weighted average mark on BDC first-lien debt holdings increased by 25bp, to 96.59% in the most recent quarter. In contrast, second-lien and subordinated debt declined by 18bp…
North America attracts lion’s share of private debt fundraising in Q1 2023 North America emerged as the leading region for private debt fundraising in the first quarter of this year. A total of 17 funds with a North American focus raised $29.4bn, overshadowing the next most popular region, the nine Europe-focused funds that raised $5.5bn….
When the going gets tough Those present at the PDI Europe Summit heard how Europe is catching up the US when it comes to distressed opportunities. Despite the denominator effect, more investor capital is expected to pour into distressed and special situation-focused GPs’ coffers this year (see chart). No wonder the room was packed as…
B-rated yield premium widens for US issuers in 2Q23 Primary loan yields in the US institutional loan market have widened slightly this quarter. However, when looking across issuer ratings, riskier credits have seen a bigger increase. At an average of 8.32% so far this quarter, the average primary yield on first-lien institutional term loans… Subscribe
US PE dry powder down Download PitchBook’s Report here. As much dry powder is floating around the PE market, the mountain is shrinking at the moment. According to PitchBook’s Q1 2023 US PE Breakdown, unspent capital accounts for less than 30% of total PE AUM. It’s the first time in two decades where that metric has…
Private debt fundraising holds up in Q1 2023 In Q1 2023, 35 private debt funds worldwide raised $34.8bn, 90% of the capital raised in Q1 a year earlier, when 51 vehicles raised aggregate capital of $35.4bn. This indicates a slightly slower but still robust pace of fundraising, despite the difficult market and persistently challenging operating…
Europe’s pros and cons Private Debt Investor’s Europe Summit 2023 in London last week reflected on the state of play in the region. Here are five key observations. 1. Increasing moves by private credit firms into net asset value-based financing are in keeping with the growing recognition that private credit is the natural supporter of…