Private debt funds are rapidly expanding into a segment of the market traditionally dominated by banks -
Bank lenders have traditionally been the primary providers of debt to finance infrastructure project development, but...more
On May 9th and 10th, the Loan Syndications and Trading Associations held its third annual private credit industry conference in Ft. Lauderdale, Florida. The major theme of the conference—the speakers of which included...more
The order marks the end of the Kirschner case, which had threatened to expand US securities regulation to syndicated loans.
The US Supreme Court has denied a petition for certiorari review in the Kirschner case, in which...more
With incremental loan activity accounting for an outsize share of the leveraged lending market over the past year, we explore the top trends, insights and structuring considerations for lenders and borrowers -
Although...more
The highly anticipated decision threatened to impose a new regulatory framework on syndicated lending, and disrupt the $1.4 trillion syndicated loan market in the United States.
The US Court of Appeals for the Second...more
While US dollar (USD) LIBOR has all but vanished from new-issue loans in 2022, the vast majority of the US loan market is comprised of legacy transactions that remain tied to the retiring rate. For every US institutional loan...more
During 2021, after months of regulatory pressure to end reliance on the London Interbank Offered Rate (LIBOR), concerns were mounting that the US leveraged loan market was being too slow to adopt the Secured Overnight...more
Term loan A debt is back in the spotlight as borrowers look for financing alternatives in an increasingly volatile institutional loan market -
As the market for term loan B (TLB) financing becomes choppier in the face of...more
The hard deadline for stopping new use of USD LIBOR following 31 December 2021 is rapidly approaching. Latest market practice as at end November 2021 suggests that some loan market participants are (at last) now contracting...more
After a volatile and challenging year, US direct lenders moved into 2021 with reputations enhanced and teams strongly positioned to fund new deals. But we cannot discuss current direct lending in the US without casting a...more
8/6/2021
/ Coronavirus/COVID-19 ,
Debt ,
Debtors ,
Direct Lending ,
Fundraisers ,
High Yield Bonds ,
Investment ,
Investment Adviser ,
Lenders ,
Leveraged Loans ,
Liquidity ,
Private Equity
Recent statements by LIBOR authorities in the UK have implications for benchmark fallbacks in US documents.
The UK’s Financial Conduct Authority ("FCA") and ICE Benchmark Administration ("IBA") released statements1 on...more
Following the ARRC-recommended deadline for shifting to hardwired fallbacks, the syndicated loan market has begun to show signs of change -
Based on best practices published by the Alternative Reference Rates Committee...more
New legislation would ease benchmark transition for tough-to-amend contracts governed by NY law -
New York State Senator Kevin Thomas has introduced a bill that would provide a legislative fix for contracts that lack...more
The disruption to capital markets caused by the COVID-19 pandemic has not shifted the overall timeline of regulators and industry bodies for the replacement of US dollar LIBOR with SOFR by the end of 2021.
With the expected...more
8/4/2020
/ Alternative Reference Rates Committee (ARRC) ,
Banks ,
Bonds ,
Capital Markets ,
CARES Act ,
Coronavirus/COVID-19 ,
Derivatives ,
Financial Conduct Authority (FCA) ,
Financial Institutions ,
Financial Regulatory Agencies ,
ISDA Master Agreement ,
Libor ,
Loan Syndication and Trading Association (LSTA) ,
Loans ,
Main Street Lending Programs ,
Popular ,
Secured Overnight Funding Rate (SOFR) ,
Transitional Arrangements ,
UK
The Bottom Line: On May 22, 2020, the United States District Court for the Southern District of New York concluded that broadly syndicated term loans are not "securities". This decision is highly significant to the US...more
6/2/2020
/ Appeals ,
Blue Sky Laws ,
Collateralized Loan Obligations ,
Coronavirus/COVID-19 ,
Debt Securities ,
Fiduciary Duty ,
Investment Adviser ,
Investment Advisers Act of 1940 ,
Lenders ,
Loan Syndication and Trading Association (LSTA) ,
Loans ,
Reves Test ,
Secured Notes ,
Securities ,
Securities Act of 1933 ,
Securities Exchange Act ,
Syndicated Loans
LIBOR, the reference rate for more than US$300 trillion of contracts globally and nearly US$200 trillion of US dollar contracts, is expected to cease after the end of 2021. In highlighting the limitations of the LIBOR reforms...more
9/17/2019
/ Alternative Reference Rates Committee (ARRC) ,
Banks ,
Derivatives ,
Federal Reserve ,
Financial Conduct Authority (FCA) ,
Financial Institutions ,
Interest Rates ,
IOSCO ,
Lenders ,
Libor ,
Secured Overnight Funding Rate (SOFR) ,
Transitional Arrangements ,
UK