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The trend reflects the rising influence of private lenders in corporate financing, particularly as banks grow more cautious amid volatile market conditions. If finalised, the deal would rank among the largest ever private credit financings, edging out banks that had pitched to refinance the companys debt.
This marks one of the few significant acquisitions in Europes leveraged finance market amid a scarcity of M&A activity in recent years. The two banks are leading the leveraged loan financing, which will be syndicated to institutional investors next month. Neither Bain, Apleona, Citi, nor UBS have commented on the transaction.
are in talks to provide as much as $8 billion in financing for a buyout of DocuSign Inc. and Deutsche Bank AG are also among the lenders considering a role in funding what would be the largest leveraged buyout of the year so far, according to the people, who asked not to be identified discussing the transaction. KKR & Co.
The private equity consortium has lined up financing to potentially buy out minority shareholders in Exclusive Networks, people familiar with the matter had said, asking not to be identified because the talks are private. Talks are ongoing and there’s no guarantee they’ll lead to a deal, the company said.
Monroe served as administrative agent and sole lead arranger on the financing. The post Monroe backs Wind Point’s buyout of Central Moloney appeared first on PE Hub.
The firms acquired Adevinta in 2023 in one of Europes largest leveraged buyouts backed by private credit. The ongoing financing discussions reflect a shift in market dynamics, as private equity sponsors weigh whether to stick with direct lenders or turn to banks for lower-cost financing.
A growing number of private equity giants are considering new ways of exiting their portfolio companies — from private IPOs to selling their stakes to rivals – as they hunt for ways to return cash to investors, according to one of Europe’s largest buyout firms. Source: Alternative Yahoo Finance Can’t stop reading?
The financing was also used to support the ongoing operations of the business. The post Comvest Credit Partners supports Authentic Restaurant Brands’ take-private Fiesta Restaurant Group buyout appeared first on PE Hub.
Source: Yahoo Finance Can’t stop reading? read more European private equity deals surge by 78% amid economic challenges Private equity firms have driven buyout activity to $133bn in 2024, a 78% increase compared to the. The IPO will be closely watched as a bellwether for investor confidence in Polands equity market.
Ultra-rich individuals and families worth more than $150bn are helping drive a resurgence in private equity buyouts, providing capital for some of the year’s biggest acquisitions to overcome a tough dealmaking environment. Source: Yahoo Finance Can’t stop reading? stake in the supermarket to existing owners.
EQT AB has secured $1.425bn in private debt from a group of private credit lenders led by Goldman Sachs group to help finance its acquisition of medical device firm Zeus Company Inc, according to a report by Bloomberg. Billion Private Loan for EQT’s Zeus Buyout appeared first on Private Equity Insights. amid interest.
is leading a €950m ($1bn) loan package to back Permira’s buyout of Gossler, Gobert & Wolters, people with knowledge of the matter said. trillion private credit market is increasingly winning out over bank syndicates that had traditionally financed large buyouts with leveraged loans. Blackstone Inc.
As well as the asset-backed financing, which would see Subway effectively mortgage all of its assets, including royalties, fees and intellectual property, the firms would look to raise an additional $2bn from traditional bonds and loans, according to Bloomberg’s sources.
Moonfares portfolio investments provide diversified exposure across buyout, growth equity, venture, and infrastructure. Source: Yahoo Finance If you think we missed any important news, please do not hesitate to contact us at news@pe-insights.com. The platform also offers opportunities in secondaries, private credit, and co-investments.
As large buyout firms face growing pressure to return capital to investors, sellers are expected to adjust their price expectations, making transactions more feasible. A rebound in leveraged buyout volumes is expected to be driven by falling interest rates, an improved financing landscape, and the rising influence of artificial intelligence.
They've made it more expensive for the company to borrow money to finance new investments and refinance existing funding, including the scheduled buyouts of convertible equity portfolio financing (CEPFs). It intends to use the proceeds to complete all the planned buyouts of CEPFs through 2025.
Buyout firms 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. Private equity financing methods and sources are among the most closely guarded secrets in this already opaque sector.
Buyout group Permira took a majority stake last August in Reorg which valued the distressed debt and bankruptcy information provider at about $1.3bn. That came months after data group Morningstar acquired Leveraged Commentary and Data, which reports on debt financing transactions, from S&P in a deal worth up to $650mn.
This optimistic outlook follows a rebound in UK dealmaking, spurred by stabilising interest rates, which have eased financing conditions for buyouts. Firms are also signalling a readiness for larger-scale acquisitions, moving away from the smaller bolt-on deals that dominated in recent years.
But projects are also financed with debt, so higher interest rates will eat into returns. Financing partners also need to be bought out for some projects that were financed a few years ago. There's uncertainty around how much cash will be left over for dividends when project financing is done. Image source: Getty Images.
Private equity firm Palatine is reinvesting in a global pure-play sustainability advisory and services provider after the company agreed a secondary buyout with Carlyle. Palatine’s Buyout and Impact funds invested in early 2021 and, in a close partnership with the Anthesis leadership team, enjoyed strong and sustainable growth.
The buyout attracted interest from the likes of MetLife and Todd Boehly’s Eldridge Industries. Hayfin’s management had previously considered selling the entire business but ultimately decided to explore a self-funded buyout as BCI sought to exit. Hayfin manages over €30bn in assets.
Rising interest rates have made it more challenging for the company to refinance existing funding and finance its growth. The other aspect of the company's strategic plan is selling its natural gas pipeline assets to repay funding as it matures and finance future renewable energy acquisitions.
McNally Capital is currently investing out of its committed buyout fund, McNally Capital Fund II LP. ” Cascadia Capital served as the financial advisor to Jewett Automation, while Hilco Corporate Finance advised McNally Capital. The firm targets businesses with EBITDA between $5 million and $20 million.
Its expertise includes recapitalizations, growth capital, management buyouts, corporate carve-outs, and restructurings. Moelis & Company was the financial advisor to Fortress, and Evercore is serving as the placement agent for Fortress on the debt financing for the acquisition. Lazard Frres & Co.
” BPGC Management invests in buyouts and special situations in the industrials, materials, and chemicals sectors. Additional financing for the PB Materials acquisition was provided by Fortress Investment Group and Hillcrest Bank , a division of NBH Bank. Management has a proven track record for both organic and inorganic growth.”
Banks are at risk of losing out on significant underwriting fees from two of Europe’s largest buyout deals, as private-equity firms are adjusting debt terms mid-process, affecting their ability to generate revenue, according to a report by Bloomberg. This clause would otherwise require new debt to be issued after the acquisition closes.
India’s Shriram Finance said on Monday it will sell its entire stake in affordable housing finance unit Shriram Housing Finance to U.S. Shriram Finance will receive a minimum of 39.10 billion rupees in fiscal 2024 and contributed 3.93% to Shriram Finance’s revenue.
Private equity buyout activity made a resurgence in the first half of the year, with direct lending emerging as a crucial component in the current market topography, according to the latest data from Mergermarket and Debtwire. As in the US, the technology sector topped the table with buyouts totaling €36.5bn.
The report cites data from KBRA DLD as revealing that the financing, which comprises a $4.8bn unitranche, a blend of senior and subordinated debt, and a $500m revolver facility, is the biggest private credit loan ever in the US.
Private credit funds are currently in discussions to provide at least AUD1.5bn ($978m) in junior debt to support a potential buyout of Australian data centre operator AirTrunk, according to a report by Bloomberg citing unnamed sources sources familiar with the negotiations.
Carlyle Group has secured private credit financing to acquire a majority stake in Australian waste management company Waste Services Group (WSG), according to a report by Bloomberg, citing sources familiar with the matter. Representatives from Carlyle, Ares, KKR Credit, and UBS declined to comment.
The State of the Game The private credit arms race has taken the industry landscape by storm, with Ken Moelis citing the shift as the greatest change in the history of transactional finance. [1] From 2022 through 2024, private-credit-financedbuyouts outnumbered BSL financed deals 6 to 1.
Investment banks, which faced significant losses on risky merger and acquisition (M&A) loans due to a spike in global interest rates, are now aggressively returning to the leveraged buyout (LBO) market — one of the most profitable sectors in finance, according to a report by Bloomberg.
“The industry’s resilience and flexibility are filling market gaps and providing customized financing solutions. Private credit has become indispensable for businesses seeking financing, and is increasingly becoming their preferred option.” Currently, a substantial amount of “dry powder” – approximately $340.8
Buyout activity across Europe’s private equity industry has dropped markedly in 2023, falling to the lowest level seen in terms of cumulative value and volume of completed deals since 2013, according to provisional data from CMBOR and Equistone Partners Europe.
To manage these substantial costs, biotech companies often turn to loans as a crucial part of their financing strategy. This volatility is largely due to a positive late-stage readout for its heart drug candidate, Aficamten, and a series of buyout rumors that pushed its stock to an all-time high last January. billion.
Private credit lenders and banks are vying to offer debt financing for a potential acquisition of US education software provider PowerSchool Holdings, according to a report by Bloomberg citing people with knowledge of the matter. The financing could include a $2.4bn funded term loan, a $500m delayed-draw term loan and a $300m revolver.
The highly anticipated €16bn ($17.36bn) acquisition of Sanofi’s consumer health unit by buyout firm Clayton, Dubilier & Rice (CD&R) could signal a surge in large private equity deals across Europe, according to a report by Bloomberg citing comments from investors and analysts.
Accession Capital Partners has agreed to provide EUR 20m financing to buyout the minority shareholders of the Tatuum retailer. The post Accession Capital Partners aids buyout for Tatuum via fifth fund first appeared on AltAssets Private Equity News.
The potential move comes as private equity firms look to exit older investments after a period of slowed deal-making, largely due to high interest rates that have increased the cost of financing leveraged buyouts.
Private equity firm CVC Capital Partners has shunned the private credit markets in favour of loans from investment banks to finance two of its latest buyouts – restaurant group La Piadineria and vitamin manufacturer Sunday Natural – according to a report by Bloomberg.
For this reason, once the start-up reaches a maturity point generating consistent cash flow, it may seek out alternative financing options like debt. Horizon Technology Finance: 9.9% dividend yield Another leading BDC is a major competitor to Hercules called Horizon Technology Finance (NASDAQ: HRZN). Image source: Getty Images.
Founded in Trondheim, Norway, in 2003 through a management buyout from the SKM Group, the company’s offering revolves around its web-based platform SYSPOWER, which includes forecasting and analytics tools for traders, analysts, portfolio managers, and production planners.
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