Twin Brook Capital Partners: Capital structures remain key to recovery

Default rates are starting to increase in the upper mid-market, making credit terms more important than ever, says TPG Twin Brook Capital Partners’ Kim Trick.

Historically, how have capital structures and credit terms across the mid-market compared? Have you traditionally seen variations across market segments? 

Kim Trick

As you compare capital structures across different segments of the middle market, you will see a number of differences across leverage, terms and pricing. Comparing the lower mid-market versus the upper mid-market, generally speaking, lower mid-market deals have more conservative leverage structures, more lender protections and premium pricing.

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