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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 leveragedbuyout of the year so far, according to the people, who asked not to be identified discussing the transaction.
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 leveragedbuyout (LBO) market — one of the most profitable sectors in finance, according to a report by Bloomberg.
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. The funds will support Carlyles purchase of the stake from Livingbridge, the anonymous source said.
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 financingleveragedbuyouts.
“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.” percent for the Morningstar US high yield index.
Taurus Private Markets, a Pennsylvania based private equity firm, today announced the final close of Taurus Private Markets Fund II, LP. The fund, which initially targeted $150m, closed with over $211m in capital commitments. Raising capital for a private equity fund in the current market environment is a challenge.
billion) for a credit fund for Australia and New Zealand, as it seeks to capitalize on opportunities created by banks retreating from leveraged lending. The Ares Asia Direct Lending fund, the company’s first leveragedbuyout vehicle for the region, has deployed over A$1.04 Ares Management Corp. has raised A$2.6
Hastings, who joins from Eversheds Sutherland, is a finance lawyer focused on leveraged and acquisition financing. Hastings acts for private equity firms and their portfolio companies, corporate borrowers and for private credit funds in relation to transactions at all levels of capital structures.
The two private equity firms are among the final bidders in the auction for DocuSign, which is set to be one of the biggest leveragedbuyouts of 2024, the sources said. A spike in financing costs in the last two years made financingleveragedbuyouts more expensive and big deals hard to clinch.
percentage points above the Secured Overnight Financing Rate and at a discounted price of 98 cents on the dollar. percentage points above the Secured Overnight Financing Rate and at a discounted price of 98 cents on the dollar. Billion for Australia Private Credit Fund Ares Management Corp. Read more Ares Raises $1.7
Leveragedbuyoutfinancings accounted for almost half (42%) of all UK transactions in H1 2024, compared with just 29% in H1 2023, according to the latest MidCapMonitor report by global investment bank Houlihan Lokey.
The firm invests equity in a range of transaction types involving a change of ownership, such as management buyouts, leveragedbuyouts, corporate divestitures, recapitalizations, and management buy-ins. TPG Twin Brook was the administrative agent on the debt financing to support IGP’s buy of AMG. billion in capital.
Global law firm White & Case is expanding its global debt finance practice and has appointed Lauren Winter, who has joined from Shearman & Sterling where she was Counsel, as a Partner in London. White & Case has dedicated bank lending, private credit & direct lending and borrower finance teams.
The report cites unnamed sources familiar with the matter as revealing that the new fund will provide senior secured loans to finance European leveragedbuyouts.
KKR, the Canada Pension Plan Investment Board (CPPIB), and Axel Springer CEO Mathias Döpfner are working to secure approximately €4bn ($4.2bn) in debt to finance a strategic separation of the German media giant’s classified ads businesses from its news operations, according to a report by Bloomberg.
Hayfin’s management had previously considered selling the entire business but ultimately decided to explore a self-fundedbuyout as BCI sought to exit. Beyond its core private credit lending, Hayfin has diversified into liquid credit investments and recently financed Eurazeo’s acquisition of French retirement plan operator Eres.
Global law firm Goodwin has appointed Ian Keefe and George Weavil as Partners within the firm’s private equity practice in its London office, which covers M&A, private investment funds and debt finance.
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.
Ehsani originally focused on purchasing life insurance policies, but is now playing a pivotal role in Apollo’s push to fund major multinational corporations as the firm’s Global Head of Principal Structured Finance. These deals convert future cash flows into investment-grade debt, benefiting both Apollo and its counterparties.
Hercules is different from a typical bank as it tends to offer more flexible financing options. The company specializes in more complex transactions such as leveragedbuyouts , for example. The chart below tracks the total return of Ares stock versus a number of leading S&P 500 -themed exchange-traded funds (ETFs).
The company typically supports start-ups that have raised funding from venture capital or private equity firms and are looking to augment the balance sheet with some debt. Horizon Technology Finance: Dividend yield 11.4% Horizon lends capital to companies looking for additional cash runway, or sometimes even helps fund acquisitions.
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. increase over the previous 12-month period.
Rose specialises in mergers and acquisitions, financing transactions, private equity and general corporate matters, according to a press statement. He represents clients across the healthcare, consumer products, environmental services, business services, real estate, energy, manufacturing, financial services and technology industries.
dividend yield Hercules Capital (NYSE: HTGC) specializes in high-yield loans to start-ups that have raised funding from venture capitalists in the technology, healthcare, and energy sectors. This growth is how Hercules is able to fund a wide array of businesses and strengthen its overall portfolio. Hercules Capital: 9.5%
Typically, a start-up will raise funds during its early days from venture capitalists (VC) or private-equity firms. Image source: Getty Images Horizon Technology Finance: 10% dividend yield One of Hercules's biggest rivals is Horizon Technology Finance (NASDAQ: HRZN). Hercules Capital: 10.3%
A&O Shearman private equity business advises nine of the 10 largest global private equity fund managers and 60% of the 25 largest global private equity fund managers, according to PEI 300 2023. Graham and Dunbar join from Sidley Austin and follow the recent Debt Finance hires of Karen McMaster, Parisa Clovis and Filippo Crosara.
Question is: Can it become a one-stop shop for pension funds, endowments, insurers, and sovereign wealth funds eager for exposure to every major alternative-asset class — without diminishing its private credit franchise? In 2022, Ares’ direct lending tied to such buyouts totaled $26.4
Global law firm Ropes & Gray has named 12 of its existing attorneys as the firm’s latest Partners, effective 1 November, including several whose practices cater for private equity and other private credit and private fund clients. Rachel O’Brien (Washington DC) advises on the formation and management of private investment funds.
PARTNER CONTENT By Lou Gueroeva Private Equity Business Development Lead, Zanders In the modern private equity (PE) landscape, there is a growing shift from traditional financial engineering towards operational value creation, with treasury and finance optimization becoming key drivers of sustainable returns.
Our strategy leverages this digital shift to enhance trade transparency and reduce human bias, positioning us to exploit market inefficiencies more effectively. Q: Drakai Capital has recently been honoured with the ‘Best Credit Hedge Fund – Credit Long/Short’ award. How does this accolade resonate with your firm’s ethos?
Paula Sambo of Bloomberg reports Canada pension fund's credit head wants to take advantage of leveragedbuyout 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 leveragedbuyouts to generate some of that growth.
PE firms adding hedge funds to approved lender lists Submitted 16/08/2023 - 11:22am Private equity firms, including buyout major KKR & Co, are beginning to add hedge funds to their 'white lists' of approved lenders used to arrange funding for leveragedbuyout deals, according to a report by Bloomberg.
Prior to founding New Mountain Capital in 1999, Klinsky was co-founder of the leveragedbuyout group at Goldman Sachs, where he helped execute over $3 billion of pioneering transactions for Goldman and its clients. He also explains how Forstmann Little was the white shoe alternative to the firms doing junk bond financing.
Troutman Pepper adds to PE group Submitted 18/08/2023 - 11:49am Private equity debt financing partners Jonathan Homer and Bruce Stainers have joined Troutman Pepper's Corporate Practice Group in New York and San Francisco, respectively. He works with PE sponsors, debt investment funds, publicly traded companies, and privately held ventures.
The report cites unnamed sources as revealing that the transaction also includes a $150m revolving credit facility, putting the total package at $3.4bn – making it one of the largest private credit deals on record – and comes as direct lenders are pivoting to refinancing existing debt from tradionally fundingleveragedbuyouts.
Leveragedbuyout volumes remained down from historical highs in Q2 2024, as did EBITDA purchase price multiples, which decreased from 11.5x Lincoln International provides mergers and acquisitions advisory, private funds and capital markets advisory, and valuations and fairness opinions. in the second half of 2023 to 11.1x
Fund managers took different approaches during this time, some riding out the storm with cost cuts, “hibernating” businesses with sufficient reserves, and others simply handing over the keys of a few companies to banks so they can focus on the future.
It encompasses strategies such as venture capital, leveragedbuyouts and investing directly in publicly-traded private equity firms. Venture Capital Venture capital investments focus on financing startups and early-stage companies with significant growth potential.
It encompasses strategies such as venture capital, leveragedbuyouts and investing directly in publicly-traded private equity firms. Venture Capital Venture capital investments focus on financing startups and early-stage companies with significant growth potential.
Credit crusaders fill the wall street void Submitted 27/06/2023 - 1:54pm This article first appeared in the March 2023 T ech Buyouts Insights Report Private credit funds could become a more permanent fixture in tech’s leveragedbuyout market thanks to their speed of execution and reliability, especially in challenging macroeconomic conditions.
Funds raised money, bought businesses, loaded them with debt, exited at a profit and convinced happy investors to do it all over again — at ever greater scale. Concerns about PIK loans have also begun to impact the people who provide them, often private credit funds. Surging borrowing costs have stalled that engine.
However, despite increasing numbers of independent sponsors, family offices, search funds, and other less conventional buyers, private equity funds remain the most prominent type of financial buyer in the market. billion of committed capital across four funds. .” billion of committed capital across four funds.
With slower bank and leveraged loan growth, demand for partners in private credit is high. Private credit provided 65% of loans for the leveragedbuyout (LBO) market in 2021 and 86% for the market as of year to date 2023. First, a low fundleverage profile increases fund liquidity and/or capital available for investment.
So, is it, is it safe to say finance was always in the career plans? 00:02:24 [Speaker Changed] Finance and business was always in the career plans. But because these are really good businesses, which got levered, they got leveraged through these leveragebuyouts. Oh, 00:02:22 [Speaker Changed] Gosh, yes.
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