Here are the next two fables in our special series on myths of #PrivateCredit:
Myth #5: “No one uses #mezzanine debt anymore.”
Private sub debt regularly gets kicked around at conferences for being “dead.” Particularly with the advent of unitranche financings.
Whether you want to call it – sub or junior debt, second lien, PIK notes – mezz has been a feature of the private capital landscape for decades and remains as active as ever. Why is that?
Being so-called “patient capital,” mezz is often deployed at the lower end of the middle market with more cyclical or first-time borrowers…
▶︎ Read Feb 17 2020 newsletter: here
▶︎ Chart of the Week: here
