M&A Deal Activity Amid the whiplash of “will they or won’t they” come into effect, talk of tariffs have contributed to the slowest start to the US M&A calendar in ten years…. Subscribe to Read MoreAlready a member? Log in here...
Tried and trusted approach embraced by LPs Many are expecting a recovery in private credit capital formation in 2025, but it’s the long-established direct lending strategy that’s expected to benefit most. “Higher for longer” interest rates are not good news for everyone – ask placement agents for example. These are the professionals that make their…
US Leveraged Loan Issuance Slows in February February’s $95b of US institutional leveraged loan issuance declined 49% from January’s $186.4b and represents the lowest volume since last August’s $27.7b. While it was a significant slowdown from last month, February issuance was up 51% from the same month a year ago, and year-to-date issuance is at…
BDC portfolio marks move lower for majority of funds that have reported 4Q24 earnings BDC earnings season is underway, with 50 funds having filed their 4Q24 results as of February 28th. For this cohort of BDCs, portfolio loan valuations have moved lower for nearly 60% funds…. Subscribe to Read MoreAlready a member? Log in here...
Is LatAm worth a second look? It’s one of the most undeveloped private debt regions but demand is there from consumers, SMEs and infrastructure projects. Unlike peers in the US, Latin American institutional investors are under-allocated to alternative assets – but demand is there and so are the opportunities. Challenges, however, include regulation and macroeconomic…
Financial leverage for buyout deals by deal year Download PitchBook’s Report here. Greater leverage is another key distinguishing characteristic of buyout-backed companies. Over the past 10 years, the average publicly traded small-cap company has had a financial leverage ratio of total assets to market equity of around 1.4x…. Subscribe to Read MoreAlready a member? Log in
Cracks begin to show in primary market amid tight pricing The average all-in spread for 1st lien leveraged loans for the 3-month period ending in January was 313 bps, down 23 bps or 6.9% from the previous period, and marked the tightest spread on record since Bloomberg began tracking the data in 2013. So far…
To ESG or not to ESG LPs appear to be sending contradictory messages on the importance of incorporating ESG and sustainability into investment approaches. How seriously should fund managers be taking their sustainability and ESG-related responsibilities? Judging by our LP Perspectives 2025 report, it’s hard to answer that question conclusively…. Subscribe to Read MoreAlready a
U.S. Banks’ Direct Exposure to Private Credit Growing; Poses Limited Risks for Now Click here to learn more. Private credit has expanded rapidly, but sizing the market is challenging given limited transparency. In its ‘Private Debt 2025’ report, Preqin sized the global private credit market at $1.6 trillion in AUM at year-end 2024 and projects…
Hypothetical growth of $100 invested by index Download PitchBook’s Report here. PitchBook and Morningstar recently introduced their Buyout Replication index, which is snapshotted below in part…. Subscribe to Read MoreAlready a member? Log in here...