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Buyoutfirms have long relied on controversial loans backed by equity stakes to enhance fund returns, but growing investor criticism has triggered a slowdown, according to a report by Bloomberg UK. Many firms borrowed against their portfolio companies to sustain the private market boom while dealmaking dwindled.
Potential buyers, such as oil & gas producers and other investment firms, would have to take on nearly $800 million of Maverick’s debt, including the outstanding amount on an asset-backed securitization tied to some of its assets, the sources said, cautioning that no deal is guaranteed. shale industry.
European private credit manager Pemberton Asset Management has held the first close of its new NAV strategic financing strategy at over $1bn of investible capital. The strategy, which provides financing solutions to privateequityfirms, secured investment from Abu Dhabi Investment Authority as anchor investor, Legal & General and others.
The Fund received significant support from existing Angelo Gordon clients, as well as new institutional investors attracted to the firm’s demonstrated ability to generate value through private credit strategies globally.
The European privateequity (PE) market—coming on the heels of a stellar, record-setting year in 2021—experienced a near reversal of fortunes in 2022. European privateequityfirms suffered a sharp decline in the year just ended, with deal volume and aggregate deal value falling 20% and 45%, respectively, compared to the previous year.
Committed US$700 million to BPEA PrivateEquity Fund IX managed by EQT Private Capital Asia, a leading privateequity manager in the APAC region focused on large-cap control buyout investments. Polaris Capital is a leading Japanese privateequity manager, focusing on upper mid-market buyout investments.
Kat Hidalgo, Allison McNeely, Neil Callanan and Eyk Henning of Bloomberg report that privateequity's creative wizardry is obscuring danger signs: As Pete Stavros addressed the privateequity industry’s yearly shindig in Berlin last month, the KKR & Co. But they were just as troubling.
Paula Sambo of Bloomberg reports Canada pension fund's credit head wants to take advantage of leveraged buyout boom: Canada’s largest pension fund plans to nearly double the size of its credit holdings over the next five years, and it’s counting on an upturn in leveraged buyouts to generate some of that growth. There’s pent-up demand.
BARRY RITHOLTZ, HOST, MASTERS IN BUSINESS: This week on the podcast, I have an extra special guest, his name is Steve Klinsky, and he has an absolutely storied history in the field of privateequity. And what was interesting was the first leveraged buyout of a public company happened when I was in graduate school. KLINSKY: Yeah.
I mean, if you’re buying debt in, in, you name it company at 20 cents to 60 cents, and they’re owned by, you know, marquee privateequityfirms, what’s gonna happen with that? And they’re being bought out by privateequityfirms. It’s still in the double digits.
PrivateEquity Invested US$206 million to acquire positions in two fund-of-fund vehicles that are invested in buyout, growth buyout and venture funds across a wide range of industries, primarily in the U.S. company developing a closed-loop supply chain for lithium-ion batteries, through an equity funding round.
The current book is called “These Are the Plunderers, How PrivateEquity Runs and Wrecks America” That’s a little bit of a sensationalistic headline. When we spoke, the focus and conversation really emphasizes the largest of the large privateequityfirms. And that’s why we’re focusing on them.
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