An inability to satisfy ratio or incurrence-based tests in leveraged finance loan agreements can lead to a borrower group being unable to draw debt it has paid for, or complete transactions it has legally committed to....more
"Baskets" are leveraged finance jargon for certain permissions a Sponsor's borrower group has to undertake certain transactions that, because of they are viewed by lenders as "leakage" items of a more risky nature to the...more
For fast-growth companies in particular, recurring revenue (or annualised recurring revenue, "ARR") loans are increasingly common in the European loan market, as lenders and borrowers become more familiar with a new...more
It was a year of rebounds in 2021, from the early hike in refinancing activity to the subsequent surge in M&A and buyout deals, as well as frenetic activity in the PE space, all of which contributed to a noteworthy uptick in...more
The impact of COVID-19 is developing fast across the globe and across industries. We outline a selection of the issues which we are currently busy discussing with lenders, sponsors and portfolio businesses in various...more
- The covenant-lite share of European institutional loan issuance in 2019 reached 92 per cent - European leveraged loan issuance in 2019 was down slightly on the previous year to €209.1 billion - High yield bond...more
The LMA Early Evening Seminar at Hogan Lovells Amsterdam on 1 October 2019 explored some trends in the leveraged finance market, with reports of a very healthy Dutch market, notwithstanding effects of Brexit, recession...more