Private Over Public? An Emerging Markets Perspective

King & Spalding
Contact

The private placement of debt securities, compared to the more common public issuances, has grown in popularity in recent years, particularly in emerging markets such as those in the Middle East. Whilst there is little publicly available data on the volume of such issuances, they have certainly been on the rise. Numerous issuers have opted to issue on a private placement basis rather than, or in addition to, a public offering, particularly against a backdrop of reduced bank liquidity in most emerging markets, and particularly in the Middle East. We have considered some of the key factors that have recently contributed and influenced the growth of private placement issuances.

PRIVATE PLACEMENT – DEFINED

In a typical public issuance of debt securities, the issuer markets the issue widely, either on a retail basis or to institutional investors only. Following the offering, the securities are typically admitted to listing and trading on a particular stock exchange. In contrast, in the private placement context, an issuer markets its debt instruments to a small pool of investors only, with no subsequent listing of the securities on a stock exchange.

Please see full Alert below for more information.

LOADING PDF: If there are any problems, click here to download the file.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© King & Spalding | Attorney Advertising

Written by:

King & Spalding
Contact
more
less

King & Spalding on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide

This website uses cookies to improve user experience, track anonymous site usage, store authorization tokens and permit sharing on social media networks. By continuing to browse this website you accept the use of cookies. Click here to read more about how we use cookies.