Flex activity continued to favor issuers in July Market sentiment in July was more of the same in the leveraged institutional market. Although deal flow thinned out from a swell of volume in June, negotiations continued to favor issuers. Thomson Reuters LPC’s Flex Factor scored a -0.04 for July,… Subscribe to Read MoreAlready a member?
First-Time Private Debt Fundraising As the closed-end private debt industry grows in size and prominence, new fund managers continue to launch new vehicles in order to take advantage of increasing investor appetite and attractive investment opportunities. However, with the private debt fundraising… Subscribe to Read MoreAlready a member? Log in here...
Back in July 2010, not long after the first Greek bailout, results of stress tests conducted by the Committee of European Banking Supervisors (the predecessor of the EBA) were released on the EU’s banks. They didn’t make for happy reading. Seven institutions failed, and they were required to raise additional capital to reach the 6%…
The PE-backed LBO market continued to remain inflated and aggressive in 2Q16. The average purchase price multiple on large corporate LBO deals was elevated at 11.3 times while middle market deals also saw lofty valuations at 9.7 times. Historically middle market LBOs exhibited average purchase price multiples closer to… Subscribe to Read MoreAlready a member?
PE Interest in US Lower Middle Market Slumps Temporarily After trending upward for over a year, private equity dealmaking in the US lower middle market (defined as transactions sized between $25 million and $100 million) fell sharply between 1Q and 2Q 2016. Granted, there were fluctuations in the upward trend, but 1Q recorded not only…
Distressed Private Equity Excels in PrEQIn Performance Index The PrEQIn Index captures the returns earned by investors, on average, in their private equity portfolios, based on the actual amount of money invested and rebased to a chosen point in time. This makes comparisons possible between different strategies and also with the S&P 500…. Subscribe to
Last week’s failed Turkish coup, and the resulting crackdown, has spooked holders of Turkey’s dollar denominated government bonds. Gauged by Turkey’s CDS spread, the market’s perceptions of the country’s credit risk has jumped by more than a quarter from its close on Thursday. Turkey’s spreads hit 290bps on July 21, the widest level since February….
The spectacular turnaround in sentiment in the leveraged market resulted in a 137% jump in refinancing activity in the second quarter, reaching US$112bn, up from US$47bn in the first quarter and the highest since 2Q15’s US$165bn. With cash build-up from repayments, investors who had been sitting on the sidelines in the early part of the…
US PE sellers slowly reducing inventory of aging portfolio companies After climbing steadily for several years, the median hold period in the US by private equity firms roughly leveled off between 2013 and 2014. From there, the hold period for companies exited via IPO briefly leapt upward in 2015, only to plunge once more in…
Private Debt sees Imbalanced Fundraising Landscape As of the start of Q3 2016, there were 247 private debt funds in market, targeting an aggregate $141bn in capital commitments. However, the landscape currently shows an imbalanced ratio in terms of the debt types which have the most funds on the road, compared to the corresponding proportion…