BDC Magazine: Leveraged Finance

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

Preqin/NXT Survey: Direct Lending Investors Increasing Exposure To Lower Middle Market

Interest among direct lending investors is increasingly focused on opportunities in the lower middle market, according to a new survey from Preqin …

Finance

Ares gets a boost to direct lending assets and adds leverage

LPC: US middle market lenders resist pricing erosion

| NEW YORK<p>May 24 Credit investors are drawing a line in the sand about the rates at which they are prepared to lend to US middle market companies after a wave of aggressive leveraged loan refinancings pulled yields lower in the first quarter of the year.<p>Increased supply due to a healthy crop of new …

World News

As Cash Inflows Ease, Issuer-Friendly Market Trends Toward Equilibrium

The U.S. leveraged loan market, which saw booming activity in the first quarter of 2017, as issuers took advantage of huge investor cash inflows to …

The Cries of Junk-Bond Armageddon - Bloomberg Gadfly

In recent years, whenever U.S. credit markets have become mired in boredom and melted up out of sheer habit, traders start worrying about junk-bond …

Finance

Supreme Court Takes Up Bankruptcy Clawback Dispute

The U.S. Supreme Court has agreed to examine whether U.S. bankruptcy law can unwind securities transactions that pass through financial institutions acting as payment conduits.<p>The justices said Monday that they would review whether such prebankruptcy payments are protected from being challenged in …

Judiciary
Finance

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 …

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 …

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 …

Calpers Is Sick of Paying Too Much for Private Equity

Pension fund’s private-equity returns were 12.3% over 20 years, but they would have been 19.3% without fees and costs<p>The largest public pension fund in the U.S. is studying dramatic changes in how it invests in private equity that would slash payments to Wall Street managers, according to people …

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 …

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 …

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 …

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 …

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 …

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 …

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 …

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 outbid by cash-rich buyers on deals

Share of transactions involving buyout groups falls sharply, analysis shows

Private Equity

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 …

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 …

As Good As It Gets For Private Equity Fund-Raising

General partners who hit the road in 2016 to raise new funds continued to find healthy appetites among investors. They raised $589 billion in capital globally, just 2% less than in 2015. With more than $500 billion raised each year since 2013, it has been a banner period, with capital pouring into …

Venture Capital

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 …