May 2013 Issue

    Editor's Letter: The importance of creative capital

    Tailoring debt to suit the needs of lender and borrower is paramount if problems are to be avoided.

    Filling China’s lending gap

    An estimated $1 trillion shortfall in financing in China is creating big opportunities for credit and distressed lending.

    A separate piece

    Tennessee’s recent $1bn allocation to separately managed structured lending accounts reveals a growing trend in the private debt sector.

    Funding for the long term

    Efforts to develop a domestic private debt market are underway in India.

    The Lawyer: Mezzanine gains ground in Russia

    Mezzanine loans are an increasingly popular financing tool in Russia and the CEE. Squire Sanders’ Claire Scott-Priestley and Eugenia Bektasheva explain why

    The Manager: An unprecedented opportunity for senior loans

    Unlisted debt products offer not just an attractive return to investors, but a valuable lifeline to growing European companies, argues Idinvest Partners chief executive Christophe Bavière. 

    The Investor: How to choose a non-bank lender

    There’s more to choosing your source of debt financing than simply price, argues Mark Hutchinson, head of alternative credit at M&G Investments.

    Termsheet: Energy Future Holdings

    Energy Future Holdings continues to struggle, as details about a proposed restructuring agreement emerge in SEC filings.

    Climbing the wall

    A widening range of funding options coupled with an outbreak of ‘amend and extend’ negotiations helped sponsors negotiate the maturity wall faced by non-investment grade companies in Europe and the US last year. But for many owners of businesses with maturing loans, the pressure to refinance remains intense, and the difficulty in getting it done formidable.

    Capital Talk: Life inside the Capital Structure

    Although the number of debt instruments on offer has changed relatively little in recent years, sponsors’ willingness to employ them creatively to best support portfolio company growth has grown markedly. Oliver Smiddy speaks with the head of LBO investor Permira’s financing group, Maximilian Biagosch, about how financing structures play a role in value creation in today’s market.

    Refinancing: An LP Perspective

    In an excerpt from PEI Media’s forthcoming title The Refinancing Guide SL Capital Partners chief investment officer Peter McKellar discusses the challenge of refinancing debt in the European market.

    The Last Word: Liquidity improves but doubts remain

    Private Debt Investor puts JPMorgan's Rishad Ahluwalia, global head of CLO research, on the spot.