Kroll Bond Rating Agency (KBRA) examines its portfolio of rated subscriptions facilities in a report published this week. The report reviews KBRA’s $11.3 billion of rated debt portfolio spanning over 40 funds and over 30 asset managers in light of the litany of challenges in 2023, including a potential recession, weakening private investment valuations, and challenged fund performance.
Find the full report here: Funds: Subscription Facilities in Focus.
Significant growth in continuation funds is creating opportunities for specialized fund financing vehicles, according to a recent report by PEI. Single-transaction, commitment-backed facilities, hybrids, and NAV deals have all found specialized applications. But while the current investment landscape supports the need for financing, the optimal configuration of asset-level, fund-level, and investor-level financing can be a bit of a puzzle.
More on that in Hybrids and NAV loans offer unique uses in continuation funds.
"Mastering Secondaries" will be the theme of the next installment of the Fund Finance webinar series hosted by Michael Mbayi of Pinsent Masons Luxembourg on Thursday, April 20.
State Street, Avardi Partners and Intesa Sanpaolo IMI CIB are looking to fill roles.
When a lender is faced with an actual default or even an anticipatory default under a credit facility, a fund borrower will typically request a default waiver from the lender. Another approach that a lender may pursue instead of an outright waiver is to forbear taking action with respect to the default, thus providing the fund borrower additional time to cure the default or comply with a new covenant or performance milestone within a certain period of time.
Bloomberg recently reported that some lenders were setting up trading desks focused on private debt. This, together with the recent events in the banking market and regulatory capital-driven exposure reductions that have been underway for some time now, has caused many lenders to examine the restrictions on loan sales imposed by borrowers via assignment consent rights and the disqualified lender list – the list of entities that are disqualified from becoming lenders or participants under the credit agreement.
PEI’s Fundraising Report 2023, published this week, provides a timely update on the state of play in private market capital formation.
Women in Fund Finance US will hold its first Wit and Wisdom event in Charlotte on Tuesday, April 18 from 5:30-8:30 p.m. The evening will be filled with networking and a panel discussion on a range of topics from office politics to feeling stuck. All are welcome to join, but please note that the event is specifically targeted towards junior to mid-level female colleagues with at least two years of experience working in the fund finance industry.
Space is limited. To reserve your spot, please fill out the form here.
FFA's U.S. Diversity team is hosting a Wednesday, April 12 “fireside chat” between Shana Ramirez, Partner and leader of the fund finance practice at Katten, and FFA Diversity in Fund Finance Co-Chair Anastasia Kaup. Shana will speak about her career path, trends in fund finance, the realities facing Hispanic/Latinx women in large law firms, and ways to further improve diversity, equity, and inclusion in large law firms and the fund finance industry.
Lloyds Bank Corporate & Institutional Banking has appointed William A. Lamain as Managing Director and Head of Financial Sponsors Syndicate, a newly-created role.