Private Debt Industry Achieves Greater Fundraising Success in H1 2016 Although private debt fundraising in Q2 2016 has not matched the record levels seen in recent quarters, H1 2016 as a whole has seen a record proportion of funds exceed their initial target size. The period has also seen a diminishing number of funds fail…
Contact: Timothy Stubbs timothy.stubbs@spglobal.com
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The parlous condition of the European banking system keeps coming back to haunt the global economy, with the latest attack of lurgy coming from Brexit. The UK electorate’s vote to leave the EU has laid bare the weak credit quality of lenders, a state of affairs that needed little revealing. Markit’s iTraxx Senior Financials index,…
Improved market sentiment boost 2Q16 leveraged market; Opportunistic deals resurface The market volatility that emerged at the tail end of 2015 and seeped into 1Q16, eased in 2Q – at least until the Brexit vote – allowing lenders to step back to assess their pipelines against the back drop of a stronger high yield bond…
Contact: Steven Miller smiller@covenantreview.com
The onset of renewed market volatility last week reminded credit participants that exogenous events do impact prices and new issuance, though to differing degrees. Broadly syndicated loan and high-yield bond markets both saw price declines in secondary trading. But new junk issuance slowed to a crawl after the Brexit vote, while loan activity continued uninterrupted. This…
The decline in US private equity activity deepens US private equity activity continues to fall. Even if Q2 numbers are revised upward as time goes on, with additional datapoints backfilled, a quarter-over-quarter decline will still have occurred in the first half of 2016. As of early July, completed deal count for Q2 is more in…
Almost two-thirds of middle market leveraged loans have two or more maintenance covenants; only 2.5% of middle market loans are cov-lite. US middle market covenant counts Source: Thomson Reuters LPC; SEC Filings
This week we chat with Michael Babiarz of Clayton, Dubilier and Rice. Michael is a partner of the firm and been with CD&R since 1990. The Lead Left: Michael, you’ve been with CD&R for 26 years. Tell us how the firm has evolved? Michael Babiarz: In many ways, we still operate with the mindset that…