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Covenant Trends - 9/6/2021

Average F&C Tranche / Pro Forma EBITDA, Based on Closing PF Leverage (L3M) (Past performance is no guarantee of future results.) Contact: Steven Miller

Reorg Credit Intelligence - 9/6/2021

Payoff of Brinker International’s 2023 Unsecured Notes Will Trigger Springing Liens on Additional Collateral Under New Revolver, Create Additional Secured Debt Capacity Under 2024 Notes In August 2021, Brink International replaced its $1 billion revolver (the “Old Revolver”), which would have matured Dec. 12, 2022, with a new $800 million revolver maturing Aug. 18, 2026…

Private Debt Intelligence - 9/6/2021

Mega funds dominate private debt fundraising Despite a slight decrease in the number of funds closed, direct lending remains the most popular private debt strategy, with a hefty $14.7bn more capital raised for the strategy in H1 2021 than in the first half last year. Across private debt the average amount invested on a per…

PDI Picks – 9/6/2021

The US market is ‘white hot’ The world’s most mature private debt market is a hive of activity as it shakes off the effects of the health crisis. More than 12 months on from the pandemic-induced slump in sentiment, the US private debt market is in rude health – “white hot and hotter than it…

Leveraged Loan Insight & Analysis - 8/16/2021

Middle market non-sponsored syndicated volume is at US$12bn so far in 3Q21 Non-sponsored syndicated middle market loan volume is at US$12bn so far in 3Q21, already on par with the total logged in 3Q20. If the current pace continues, 3Q21’s total will be close to 2Q21’s US$29bn, which was the highest quarterly level in 3…

Debtwire Middle-Market – 8/16/2021

Source: Cliffwater Direct Lending Index and BofA Merrill Lynch US High Yield Effective Yield The red line in the chart is the *Cliffwater Direct Lending Index (CDLI) current yield, which is based on the investment income of the underlying assets held by public and private BDCs. BDCs invest in middle market companies, and the Index…

The Pulse of Private Equity – 8/16/2021

Bigger funds across private capital Download PitchBook’s Report here. Private capital as a whole is enjoying an enthusiastic fundraising trail. PitchBook’s latest Private Fund Strategies Report, available here, covers a range of asset classes, including PE, VC, real estate, real assets, FoF and secondaries. The data shows a pronounced uptick in fund step-ups—or the difference between…

“$2 Billion is the New $1 Billion”: Unitranche Revisited (Last of a Series)

In a recent conversation with a good friend in private credit, a veteran of the industry for many years, he reminded us of the history of one-stop financing. “In the beginning,” he reminded us, “unitranche was a creature of broken markets. It was designed to step in when banks were backing away. Today it’s accelerating…