Fund Management

The failures of First Brands and Tricolor has put due diligence under the spotlight. In The Private Debt Investor Podcast, Matthias Kirchgaessner of Plexus Research and Jiri Krol of the Alternative Credit Council debate whether private debt has problems to confront.

Recent bankruptcies have highlighted the need for extensive due diligence and, also, post-deal monitoring of risk in asset-based finance. Are relative newcomers to the space sufficiently equipped?

Independent enforcement is a superior alternative to M&A and workout processes, maintains Dagmar Gold of Deutsche Pfandverwertung.

Economic conditions in the US are becoming challenging, with inevitable knock-on effects for the credit market.

Meanwhile, direct lenders discover that offering a PIK option enhances their appeal.

Short-term and increasingly passive public markets aren’t always the right fit for major transformations, particularly those being driven by trends such as decarbonisation and AI.

Do customisable models incorporating both public and private markets exposure represent the next step in the democratisation of alternatives?

Companies are staying private for longer, but our economies need fully functioning and vibrant public markets as well.

Thanks to the evolution of a robust private market ecosystem that includes private credit, secondaries and unprecedented amounts of capital, companies are growing bigger and staying private for longer than ever before. Nevertheless, the dream to go public is still very much alive.

For borrowers and their sponsors, SLLs are a direct way of ensuring ESG integration is a lever for financial value.