This week we continue our conversation with David Brackett, Managing Partner and Co-CEO, Antares Capital. Founded in 1996, Antares is a premier credit solutions provider to middle-market, private-equity backed companies. Second of two parts – View part one.
Download Antares’ Report: “2017: Leading with optimism in times of uncertainty” here
TLL: What about a BDC?
David Brackett: They certainly have been a mixed bag. Private BDCs appear to be the better route these days but at this point we’re still early in the process of analyzing the opportunity. It’s an alternative funding model so I’m sure we’ll develop a more thoughtful perspective as we sort through options down the road.
TLL: What has been your biggest surprise this year?
DB: Well, I’d say it was the optimism we saw at the beginning of the Trump presidency. Following the 2016 presidential election, we surveyed our portfolio companies, sponsors and investors to get their views on topics such as the economy, M&A activity and market dynamics. All three groups were consistent in feeling good about where things were headed, despite a fair amount of uncertainty in global markets, the fact that we live in a volatile world, and that we’re late in the cycle. It would be interesting to go back and interview them now.
TLL: Do you worry about the non-banks that don’t have real middle market experience? Shouldn’t there be a warning, like on the TV car ads: “Professional driver on a closed track.”