Credit to leveraged companies normally ties to the cash flow of the borrower’s business. But the coronavirus pandemic has wreaked havoc on the financial standing of many borrowers, upending their ability to predict cash flows and prompting them to raise capital against hard assets’ liquidation value. In the process, new transaction structures have emerged that use collateral more creatively to maximise borrowing capacity.
1 JUL 2021In this Spotlight article Francesco Lione considers the pros and cons for rolling out “super senior” capital structures that include term loan debt, in addition to or as an alternative to secured bonds.
1 OCT 2022