BDC Magazine: Leveraged Finance

By BDC Reporter | Developments in non investment grade lending. Part of a BDC Reporter Magazine series.

Goldman, BofA Cash In on a Leveraged-Loan Frenzy Like No Other - Bloomberg

If yield is a drug, Wall Street’s working overtime to supply it.<p>Investors’ global reach for income is giving America’s largest banks their biggest …

Capital Markets

Prudential's Peters says risk-reward for junk bonds 'not favorable'

NEW YORK (Reuters) - PGIM Fixed Income senior portfolio manager Greg Peters said on Thursday that he has been reducing his overweight position in junk bonds because the "risk-reward is just not favorable."<p>Peters, who helps oversee more than $100 billion in multi-sector fixed-income portfolios at …

Interest Rates

Portfolio Advisors Raises $740M For Second Direct Credit Fund

Connecticut-based private markets manager Portfolio Advisors has raised $740 million in capital commitments for its second direct credit fund.<p>The new …

Venture Capital
Private Equity

Buyout firms are paying the highest prices for deals since the financial crisis

Some call it "private equity inflation."<p>It is a problem for the industry that occurs as the market rises over a long period of time. That causes …

Private Equity

Loan Terms: Deep Dives and Deal Trends

<b>April 12, 2017</b> - There has been considerable discussion about the loosening of loan terms in the past year, but it’s not always easy to find …

Loans

The $7 Trillion Hazard That Lies Beneath the M&A Boom - Bloomberg Gadfly

With a bankruptcy filing looming, the Westinghouse Electric Co. nuclear business delivered one last stinging blow to Japanese parent Toshiba Corp.'s …

Accounting

Carlyle eyes middle-market lending with fund targeting $1.5 bln

• New mid-market fund will lend to sponsor-backed companies<br>• Represents a follow-up to Carlyle's BDC<br>• Firm expanding private credit capabilities after …

Wall Street

PE Firms Investments Up 36% To $5.4 Billion In Q1 2017, Says Report

Private equity firms invested about $5.44 billion across 117 deals during the quarter ended March 2017, 36 per cent higher than the year ago period …

Venture Capital

Some Dross Hides in Junk-Debt Gloss - Bloomberg Gadfly

Let’s say you bought an apartment for $500,000 as an investment when housing prices were rising and the economy looked solid.<p>The only problem is that …

Commodities

Business loan growth slowdown reflects energy hangover: Goldman

NEW YORK (Reuters) - A slowdown in U.S. business loan growth reflects a hangover from the energy sector contraction of 2015 and 2016 rather than a fall in investment demand, analysts at Goldman Sachs said in a note on Wednesday.<p>The sharp deceleration in Commercial & Industrial (C&I) lending has …

Banking

LPC: BDC sector splitting into ‘haves’ and ‘have nots’

By Leela Parker Deo<p>NEW YORK, March 29 (Reuters) - The performance of Business Development Companies (BDCs) is diverging into ‘haves’ and ‘have nots’ …

Private Equity Is Raising Its Bets to Save Distressed Positions

More<p>In a casino, doubling down can be dangerous. But in private equity, it's increasingly becoming the best way to eke out a profit on a bet turned …

Wall Street

Private Equity Profits Shrink as Loan Sector Cools Off

Private equity firms such as Blackstone Group LP (BX), The Carlyle Group LP (CG), Bain Capital LP and KKR & Co. L.P. (KKR) have generated robust …

Private equity losing out to cash-rich companies on the big deals

Share of transactions involving buyout groups falls to lowest since 2009, analysis shows

Capitalism

Apollo Seeks $20 Billion by May for New Buyout Fund - Bloomberg

Apollo Global Management LLC is seeking $20 billion for its latest global buyout fund, people with knowledge of the process said, setting its sights …

Capitalism

Private debt fees drop to eight-year low

Fees are coming down, even though investor interest in the market remains keen<p>The fees that fund managers charge for private debt funds have dropped …

Venture Capital

Citrix Tests Private Equity's Appetite for Megabuyouts - Bloomberg Gadfly

Will the clouds align for Citrix Systems Inc. to break the megabuyout drought?<p>Bloomberg News reported on Monday that Citrix hired Goldman Sachs Group …

Wall Street
Capitalism

Next Big Tax Fight Could Pit Wall Street Against Private Equity - Bloomberg

Debate over a border-adjustment tax is consuming Washington, but another, less-discussed proposal in House Speaker Paul Ryan’s tax plan stands a …

Banking

Some private equity houses turn nervous, despite Trump hype

BERLIN (Reuters) - Some of the world's biggest private equity firms are growing increasingly nervous that the sector is heading for a downturn after years of stellar returns fueled by low interest rates and strong demand for alternative investments.<p>At the industry's biggest annual gathering in …

U.S. Bank Lending Has Slowed Since The Election

U.S. bank lending has slowed down at the aggregate system level.<p>This is probably temporary but isn't what the reflation narrative demands.<p>Might …

Once struggling loans return on red-hot demand

NEW YORK (Reuters) - Web conferencing provider Premiere Global Services (PGi) is considering a return to the loan market to reprice its debt and even add a little more to pay a dividend after struggling to sell the same buyout-related debt last year, illustrating growing demand for US leveraged …

Blackstone’s cash pile tops $30bn

The world's private equity firms are coming under pressure to deploy more than $820 billion in unspent capital<p>Blackstone Group has more than $30 …

A routinely exceptional year for private equity

A new report from McKinsey finds that in 2016, private markets again defied expectations. But competition is getting tougher for both managers and …