Leveraged Finance


Coverage of issuances, leveraged financing and recapitalizations across the US, EMEA and Asia from leveraged finance and legal experts. Our coverage includes news, data and analysis on leveraged loans, the leveraged loan and finance market as a whole, leveraged finance transactions and more.

Intralot’s Dropdown Restructuring Games in Butterworths Journal of International Banking and Financial Law

Authored by Reorg’s expert team in Europe Jamie McDougall, Shan Qureshi, Ben Kovacka and Shweta Rao, this article first appeared in the Journal of International Banking and Financial Law in May 2022.

Intralot is the first European group to restructure its debt using the “J. Crew”-inspired drop-down procedure, transferring its unencumbered US business away from unsecured noteholders due to be repaid in 2024, to be used to support secured debt to refinance unsecured notes maturing earlier in 2021. The trustee for the notes due in 2024 is suing and there is a separate claim for fraudulent transfer.

In this article, the authors explore:

– How unsecured pari passu and pro rata noteholders came to prime others by becoming senior secured noteholders under the drop-down procedure;
– How the drop down was achieved by a US subsidiary issuing unsecured notes due 2025, swapping them for the unsecured notes due 2021 issued by a holding company, being designated an “Unrestricted Subsidiary”, with its shares and assets then being pledged as security for the notes due 2025;
– How Intralot exploited imprecise but standard drafting of the covenants to ensure the value of the US business was low enough to fit within investment basket capacity required to be used for the drop-down;
– Why only 75% of the primed noteholders may have decided to stay being supported by the non-US business rather than exchange for equity in the US business;
– How the different bargaining power among creditor groups impacted the restructuring and resulted in unequal outcomes for creditors in the same class;
– How a minority of 2021 noteholders withheld consent to force repayment of 59% of their notes at par prior to the refinancing-by-drop-down; and
– “J. Crew” blockers as anti-drop-down provisions and their frequency in 2021.

For a copy of the full article contact customersuccess@reorg.com and you can read more analysis from Reorg’s EMEA Covenants team here.

Share this post:
Global Credit Highlights – (Friday, June 3, 2022)

In the Americas, stocks rose as market participants straggled back from the long holiday weekend and distressed investors focused increasingly on companies in the auto sector, which is bearing the brunt of component shortages and wage/commodity inflation. The high-yield market had a limited reopening, with eight deals pricing across a variety of sectors including midstream and building supplies. Talen Energy’s chapter 11 proceedings continued, with Talen Montana filing an adversary proceeding to avoid the transfer of certain asset sale proceeds to former parent PPL Corp. and Talen Energy obtaining the support of 71% of unsecured noteholders for its RSA. Chemical manufacturer TPC Group filed for chapter 11, and Service King entered into an agreement that will provide as much as $200 million in new capital.

As in the Americas, companies in Europe are continuing to feel the strain from supply-chain disruptions and inflationary costs. French chilled dough and pancake maker Cerelia is seeking an amendment to be able to raise an €80 million loan amid rocketing input costs. As an added pressure, the primary markets are all but shut, leaving companies with upcoming maturities between a rock and a hard place and banks on the hook for underwritten deals.

As Shanghai is reopening after a months-long Covid-19 lockdown, the Chinese government is eyeing economic recovery and picking winners and losers in the property sector by hosting a virtual road show for five privately held developers to pitch new bond offerings. In Indonesia, a puzzling bondholder identification announcement for palm oil producer Sawit Sumbermas Sarana has market participants chattering, and an unusual judgment shows unpaid creditors can access recourse despite prior appointment of insolvency officer-holders in a company’s place of incorporation if the company can prove sufficient connection with Hong Kong.

Request trial access to Reorg here.

Share this post:
FTLive and Reorg: Global Alternative Credit Summit (May 4-5, 2022) — New York program
Mon May 2, 2022 8:46 pm High Yield Bonds  Leveraged Finance

GLOBAL ALTERNATIVE CREDIT SUMMIT
4 – 5 May 2022
Unlocking Opportunities in Private Debt as the Credit Cycle Turns
In-Person & Digital l Glaziers Hall, London and Harvard Club, New York | #FTAltCredit

Private credit is booming with estimates suggesting the market is now worth more than US$1 trillion. Having moved from the margins to the mainstream, this previously niche asset class is proving a real disruptor in debt capital markets, as investors seek out steady and healthy returns, and borrowers opt for new non-bank sources of finance. The expert panelists will discuss the UK’s evolving scheme of arrangement, the American municipal debt market and merger arbitrage strategies in our wide ranging array of panels.

The potential for this market is enormous, but there are risks. For LPs, non-bank credit offers diversification uncorrelated with traditional investments; for borrowers, it promises quicker decisions on loans, better tenors and tailored covenants. Yet, despite ample capital, caution remains a watchword as the global credit cycle turns and the pandemic continues to influence the prospects for business and finance. Moreover, with growing calls for greater transparency and tighter regulation in private credit, is now the right time to join this market? Do the benefits outweigh the risks of this dynamic new asset class?

How does this shadow banking market compare to other private asset classes in terms of returns and ease of access? To what extent has it matured to meet the risk and return profile of an increasingly sophisticated pool of global investors? Can current rates of return be sustained in developed markets, against a fast changing and uncertain macro-economic and geo-political background? To what extent will Asia follow a similar growth path? As demand for direct lending, distressed debt, structured credit and leverage finance increases, where will new avenues for growth emerge? How concerned should investors be about warnings around systemic risks, market opacity, standards and illiquidity issues? Is it time to step up the regulation of private credit?

The FT’s Global Alternative Credit Summit will tackle these and other major questions. Held in partnership with Reorg, and bringing together leading investors, borrowers, lenders, regulators and advisers from the US, EMEA and Asia, our agenda will look at how private credit is evolving and shaking up debt markets, assessing the key drivers behind its current rate of growth, and where the industry will go from here.

Welcome Remarks from FT & Reorg

  • Sarah Gefter, Managing Director, Reorg
  • Mark Vandevelde, US Private Capital Correspondent, Financial Times

Market observation from Reorg

  • Kent Collier, Founder and CEO, Reorg

Fireside Chat – are alternative credit funds now too big to fail?

  • Kipp deVeer, Partner, Head of the Ares Credit Group, Ares
  • Mark Vandevelde, US Private Capital Correspondent, Financial Times

Panel: Scaling up- Is private credit freezing out banks in leveraged buyouts?

The volume of money being dedicated to private credit is growing year on year, allowing them to put their cash to work to finance bigger deals. A case in point is Thoma Bravo’s use of private credit to part fund the 2021 US$6.6bn acquisition of Stamps.com. Do deals like this suggest that the scale of some funds is turning the tide away from traditional bank financing as the go-to for takeovers? What are the advantages and risks of going the private route vs using a syndicate of bank lenders? What are the risk implications for the market when borrowers and lenders may come from the same fund – private equity on one side, private credit on the other?

  • Colbert Cannon, Managing Director, HPS Investment Partners
  • Ramya Tiller, Partner, Debevoise & Plimpton LLP
  • Alexander Popov, Managing Director – Partner – Credit Opportunities, Carlyle
  • Jean-Marc Chapus, Managing Partner, Crescent Capital Group, LP
  • Joe Rennison, Deputy US Markets Editor, Financial Times

Panel: The future of alternative credit – what new strategies, sectors and markets are emerging to meet investor demand?

Many now view alternative credit as a mainstream asset class which looks set to maintain its growth path, in the short to medium term. But capital allocations will be driven by private credit manager’s ability to offer differentiated growth and income opportunities, especially in a low yield environment, as well as potential downside protection in times of market turbulence. What does the future hold for alternative credit as the market cycle shifts? What strategies will fund managers look to to distinguish themselves from their competitors? Which regions and sectors show the greatest potential for expansion? How important will ESG considerations be in shaping the market? What are the biggest regulatory challenges likely to affect private credit managers in the coming years?

  • Morgan Dean, Managing Director, Sound Point Capital
  • David Latour, Managing Director, Strategy & Investment, Capital Solutions CDPQ
  • Joel Holsinger, Partner, Co-Head of Alternative Credit, Ares
  • Mr. Greg Racz, President, MGG Investment Group
  • James Holloway, Team Lead, Reorg

Closing remarks followed by VIP Networking Lunch

  • Mark Vandevelde, US Private Capital Correspondent, Financial Times

Please take a look at the agenda here: https://alternativecredit.live.ft.com/agenda/session/693861

Share this post:
FTLive and Reorg: Global Alternative Credit Summit (May 4-5, 2022) — London program

Private credit is booming with estimates suggesting the market is now worth more than US$1 trillion. Having moved from the margins to the mainstream, this previously niche asset class is proving a real disruptor in debt capital markets, as investors seek out steady and healthy returns, and borrowers opt for new non-bank sources of finance. Hear from market leading experts on distressed restructuring, bankruptcy analysis, and the leveraged loan market in 2022 and beyond.

GLOBAL ALTERNATIVE CREDIT SUMMIT
4 – 5 May 2022
Unlocking Opportunities in Private Debt as the Credit Cycle Turns
In-Person & Digital l Glaziers Hall, London and Harvard Club, New York | #FTAltCredit

The potential for this market is enormous, but there are risks. For LPs, non-bank credit offers diversification uncorrelated with traditional investments; for borrowers, it promises quicker decisions on loans, better tenors and tailored covenants. Yet, despite ample capital, caution remains a watchword as the global credit cycle turns and the pandemic continues to influence the prospects for business and finance. Moreover, with growing calls for greater transparency and tighter regulation in private credit, is now the right time to join this market? Do the benefits outweigh the risks of this dynamic new asset class?

How does this shadow banking market compare to other private asset classes in terms of returns and ease of access? To what extent has it matured to meet the risk and return profile of an increasingly sophisticated pool of global investors? Can current rates of return be sustained in developed markets, against a fast changing and uncertain macro-economic and geo-political background? To what extent will Asia follow a similar growth path? As demand for direct lending, distressed debt, structured credit and leverage finance increases, where will new avenues for growth emerge? How concerned should investors be about warnings around systemic risks, market opacity, standards and illiquidity issues? Is it time to step up the regulation of private credit?

London Program: May 4

Opening remarks from the FT Chair
Robert Smith, Capital Markets Correspondent, Financial Times

View from the Top: How resilient is private debt as the credit cycle turns?
2021 was a bumper year for private credit, with the market size growing to almost US$1 trillion. Demand from investors for new assets is high and the industry is seizing the opportunity to drive growth. But can this be sustained as the credit cycle turns? What impact does the prospect of rising interest rates and higher inflation have on the outlook for borrowers of private credit and generally credit quality? To what extent are private debt market risks reduced by the characteristics of the market, such as floating rate loans, privately negotiated deals and shorter durations? Are issues of transparency and liquidity likely to create challenges if markets become volatile?

  • Katie Martin, Markets Editor, Financial Times
  • Jonathan DeSimone, Chief Executive Officer, Alcentra
  • Ben Levenstein, Head of Private Credit and Alternative Income, Universities Superannuation Scheme
  • Magdalena Högberg, Head of Strategic Asset Allocation and Quantitative Analysis Fourth Swedish National Pension Fund (AP4)

Economist Keynote: Higher inflation and rising interest rates – a threat or opportunity for alternative credit?

  • Gerard Lyons, Chief Economic Strategist, Netwealth
  • Chris Giles, Economics Editor, Financial Times

LP Leaders’ Panel: Is this the right time to expand allocations in private credit?
Globally, the private credit market continues to experience strong growth. Fuelled by strong appetite from investors, the asset class is now a widely accepted part of the strategic allocation for institutional portfolios. However, with capital continuing to move into this space, dry power is increasing as investments with an attractive risk-return ratio are becoming harder to find. What are investors’ current and medium term expectations of returns in this market? How important is credit quality as competition for deals intensifies? How worried should investors be about transparency in this market?

  • Robert Smith, Capital Markets Correspondent, Financial Times
  • Brian Olvany, Head of Private Debt, Zurich Insurance
  • Emma Bewley, Managing Director, Head of Private Debt and Uncorrelated Strategies
    Partners Capital 
  • Mikael Limpalaer, Senior Investment Director, AustralianSuper

Keynote: From shadow banking to mainstream asset class – is private debt now better than public?

  • Josephine Cumbo, Global Pensions Correspondent, Financial Times
  • Marcie Frost, CEO, CalPERS

Panel: Is the Distressed Debt opportunity primed for a new dawn?
Defaults and distressed opportunities seemed likely when the pandemic hit, but stimulus measures and creativity in financing put the market into a holding pattern. Now, as the world economy starts to normalise, and live with Covid, and as talks of tapering become reality, solvency is once again an issue for businesses. As the environment becomes favourable again for distressed investors how is the market cycle developing and how big is the distressed opportunity likely to be? To what extent will current low interest rates affect returns? How cautious should investors be about entering this market, given the ongoing macroeconomic uncertainty?

  • Mario Oliviero, Managing Director, International Credit, Reorg 
  • Christine Farquhar, Co-Head of Credit, Cambridge Associates 
  • Ty Wallach, Managing Director, Chief Investment Officer of Credit, Atlas Merchant Capital
  • Ivelina Green, CIO, Pearlstone Alternative
  • Jason Mudrick, Founder and CIO, Mudrick Capital Management LP
  • Adam Phillips, Partner, Head of DM Special Situations, BlueBay Asset Management

Welcome remarks from FT and Reorg

  • Robert Smith, Capital Markets Correspondent, Financial Times
  • Julie Miecamp, Managing Editor – Europe, Reorg

Panel: Is tighter regulation needed in non-bank lending?
The recent pace of growth in the alternative credit market has taken everyone by surprise, not least regulators and market watchers, some of whom are raising concerns about the potential for systemic risks. Has the time come for more regulation in this market, particularly around fund leverage and liquidity risk management? To what extent is alternative credit’s interconnectedness with the wider financial sector an issue that can’t be ignored? How can market players collaborate with policy makers to shape a regime with protects investors and the wider economy, whilst allowing alternative credit to evolve?

  • Adelene Lee, Managing Editor, Reorg
  • Jiri Krol, Global Head, Alternative Credit Council
  • Nathan Brown, Chief Operating Officer, Arcmont Asset Management

LP Fireside Chat – Harnessing the illiquidity premium of private markets

  • Robert Smith, Capital Markets Correspondent, Financial Times
  • Mark Fawcett, Chief Investment Officer, Nest

Leaders’ Panel: Finding value in private credit – which strategies are most effective in the current market?
Private debt has emerged as the new frontier for private and institutional investors on the hunt for yield. As capital continues to move into this space and dry power increases, where are the pockets of opportunity opening up? What is the outlook for returns in direct lending, fund of funds, distressed debt, special situation funds, and mezzanine finance? To what extent are asset owners adapting their approach, with potential participation in co-investments and secondary markets?

  • Julie Miecamp, Managing Editor – Europe, Reorg 
  • Howard Sharp, Head of Origination – Europe, Alcentra
  • Luis Mayans, Partner and Deputy Head, Private Debt, CDPQ
  • Gregory Racz, President, MGG Investment Group

Closing remarks followed by VIP Networking Dinner

  • Robert Smith, Capital Markets Correspondent, Financial Times
  • Julie Miecamp, Managing Editor – Europe, Reorg
Share this post:
Chapter 11 Plans’ Analysis Using Credit Cloud

Reorg experts recently conducted an analysis of chapter 11 filings. Using Reorg’s new restructuring dataset, included in Credit Cloud, the analysis reveals that since 2020, five debtors have emerged or will emerge from bankruptcy with more funded debt than they had on their petition dates. Three of these companies have securities trading at stressed levels, with over 10% yields. Mallinckrodt second lien notes are indicated with a 12% yield and Buckingham Senior Living’s 2021B notes are indicated 42.3/43. Reorg has not been able to secure pricing information for the other two companies.

Mall owner Pennsylvania REIT and senior living operator Buckingham obtained concessions from lenders upon exit, including extended maturities, in an effort to carry the companies through the downcycle.

Read the full article here.

Share this post:
Reorg on the Record: Risk-on or risk-off, Reorg continues its mission…

Written by Kent Collier, Founder & CEO || Today marks the 100th edition of Reorg on the Record. We started publishing this weekly digest in the months leading up to the onset of the pandemic. A lot has happened in those two years and candidly, at least to me, it feels like a decade.

The environment today feels quite different from March, April and May of 2020. Cases such as Whiting Petroleum, J.Crew, Avianca and many others dominated Reorg’s docket feed and no one knew what a meme stock was (gentle reminder: Gamestop was going through a proxy battle at that time…).

Reorg is also different – we introduced a number of powerful datasets including our DIP, Restructuring and CLO Databases, we bought Aggredium to help power the research processes of high yield and loan market participants and we extended our editorial coverage to cover more salient topics for our subscribers such as primary coverage, litigation overviews, post-reorg analysis and launched our America’s Municipal product offering.

That said, one thing I am ever grateful for is the resilience and steadfastness of the nearly 300 people that work at Reorg. Between March 1, 2020 and today, Reorg has written approximately 70,000 stories. From breaking news to deep dive covenant analysis on new issuance, these stories help our subscribers stay informed of everything going on in the credit markets. Irrespective of market conditions, risk-on or risk-off, Reorg will continue its mission to empower our subscribers with the information that matters and bring transparency to the global credit markets.

Our global teams are delivering the most in-depth data, analysis and reporting on thousands of credits that are either stressed, distressed, performing, going through restructuring or post-reorg. Below is a glimpse into our editorial offering:

Asia: Sri Lanka Sovereign Debt
The Democratic Socialist Republic of Sri Lanka’s benchmark 7.55% $1.5 billion notes due March 2030, are indicated at 49/50.25, up from 48.75/50.25 on Jan. 14. The 2030 notes, which are widely held and traded in Asia, have been indicated at the level of 52.5/56, since Reorg initiated coverage in May 2020. » Continue Reading

EMEA: European Primary Market
The volume of issuance in the European primary market in January 2022 almost halved compared to January last year and, of those companies who came to market, only a third traded up above their issue price. Market jitters spread across the European primary market in the last two weeks of January, causing issuers who did come to market to price wider than initial price guidance and some to rejig or shelve their issuance plans. » Continue Reading

Americas: Mallinckrodt
A month after the close of a hotly contested trial, Judge John Dorsey confirmed Mallinckrodt’s fourth amended plan in an opinion released on Thursday night, Feb. 3. The decision is a victory for the Mallinckrodt debtors and other plan supporters, who defended the plan against a volley of objections challenging its compliance with the confirmation requirements set out in section 1129 of the Bankruptcy Code. » Continue Reading

Americas: Puerto Rico
In a telephone interview with Reorg, outgoing PROMESA oversight board Executive Director Natalie Jaresko stressed that her remaining two months in the post will “absolutely” include taking the commonwealth plan of adjustment effective, a major milestone in Puerto Rico’s broad restructuring that the oversight board is solidly targeting for March 15. » Continue Reading

EMEA: Orpea Groupe
Investors are monitoring Orpea Groupe after the French care home operator appointed Grant Thornton and Alvarez & Marsal to conduct an internal review following a string of allegations including mistreatment of residents and potential labor law violations, sources told Reorg. Since the allegations, Orpea’s share price has plummeted. » Continue Reading

Share this post:
Reorg on the Record: Borrowers flock to capital markets to secure funding…

Written by Adelene Lee, Managing Editor, Americas Core Credit, Middle Market & Municipals || As the Fed signaled that it is planning to increase interest rates at its March meeting, borrowers flocked to the capital markets in January to secure funding at rates that remain historically low. Given the direction interest rates are taking, investors are showing a preference for floating-rate instruments including leveraged loans, which saw numerous multi-billion dollar deals to support leveraged buyouts, while turning relatively more cautious on fixed-coupon, longer-duration high yield bonds. Reorg’s Americas team has begun to expand its focus to delve into selective sub-investment grade issuers with high leverage, including Scientific Games, Athenahealth, McAfee.

While Apex Tool Group found redemption in the syndicated loan market after failing to merge with Wanxiang Group Corp. late last year, other companies that either took on expensive debt or sought long-term waivers to escape fixing their balance sheets may face the inevitable in a higher interest rate environment if they fail to return to profitability, as participants in our outlook story for 2022 concluded.

A preview of our in-depth coverage of these names, and many more, is available below.

—-

Our Americas teams are working tirelessly to bring subscribers the most in-depth data, analysis and reporting on more than 1,000 performing and distressed credits. Below is a glimpse into our offering:

Purdue Pharma
The U.S. Court of Appeals for the Second Circuit has accepted the appeal of U.S. District Judge Colleen McMahon’s Dec. 16, 2021, decision, which vacated Purdue Pharma’s confirmation order and invalidated third-party releases of the Sackler family. In an order last Thursday, Jan. 27, the circuit court granted the petitions for permission to appeal filed by the debtors and other supporters of Purdue’s chapter 11 plan. » Continue Reading

Municipal Debt Industry Update
With the municipal market undergoing its second straight week of outflows, breaking a 45-week positive flow streak, cash pulled to the sidelines by spooked investors slowed the high-yield pipeline. The outflows are not expected to be a permanent pattern at this time and largely reflect inflation and rate hike concerns of investors, according to market participants. » Continue Reading

Ascena Retail
At a status conference in the Ascena Retail debtors’ cases, Judge Frank Santoro and the parties discussed the debtors’ motion (previewed at last week’s conference and filed Wednesday evening, Jan. 26) seeking an order modifying and reconfirming the debtors’ plan of liquidation. The proposed modifications would strike the third-party releases severed by the Virginia district court earlier this month and revise the exculpation provision in accordance with the district court’s opinion. » Continue Reading

Puerto Rico
After certifying an updated fiscal plan for the commonwealth during its 32nd public meeting today, most PROMESA oversight board members and Executive Director Natalie Jaresko said additional fiscal management actions are needed at the central government level before the oversight board can end its mandate while ensuring the Puerto Rico government does not backslide into a second bankruptcy. » Continue Reading

Athenahealth
The company, which provides network-enabled services for healthcare and point-of-care mobile apps, is issuing $2.5 billion of unsecured notes due 2030 in connection with the company’s acquisition by Bain Capital and Hellman & Friedman. Proceeds of the Notes, together with $5.75 billion of new term loan borrowings, $2.36 billion of preferred equity proceeds and a $6.16 billion sponsor investment, will be used to pay the purchase price for the Acquisition and to repay about $4.56 billion under an existing credit facility. » Continue Reading

Sign up to receive Reorg on the Record straight to your inbox. 

Share this post:
Leveraged Loans Continue Path Toward Becoming IOUs
Thu Dec 23, 2021 3:48 pm Leveraged Finance

For years, sponsors have tried (most often, successfully) to chip away at lender protections in credit agreements. With so much money flowing into the leveraged loan market, the skyrocketing demand has created an increasingly borrower-friendly environment and resulted in many credit agreements looking more like IOUs than highly negotiated contracts that seek to balance the interests of borrowers and lenders.

In the article linked below (available to LSTA subscribers), we discuss certain new terms and mechanics being seen in sponsored, private credit agreements reviewed by Reorg Covenants Prime and briefly review other terms that may at one time have been the exceptions to the rules but have slowly and steadily begun to turn into the rules themselves.

Read the full article here

Share this post:
Airline Bonds Fall as Europe Reintroduces Covid-19 Lockdown Restrictions

Airline bonds have been falling throughout the week following the re-introduction of Covid-19 restrictions in some European countries where cases have been rising. German airline Deutsche Lufthansa’s €750 million senior unsecured notes due 2025 are down over 0.5 points from Friday last week to 101.8 and its €850 million senior unsecured notes due 2028 have declined almost 1 point to 103.3. British Airways parent International Airlines Group’s €500 million senior unsecured notes due 2025 have contracted about 0.6 points to 100.4. This is an extract from the Europe Credit Daily, to subscribe to this intelligence request a trial here.

Share this post:
European Leveraged Loan Primary Market Trends | 9/29/2021
Wed Sep 29, 2021 8:08 pm Financial Restructuring  Leveraged Finance

After the summer hiatus, the European leveraged loan primary market has come back to life with a steady flow of deals. 2021 has been a strong year so far and, with a strong pipeline in place, the record-breaking pace is looking likely to continue through to the year end.

With more and more bank/bond structures, the convergence of bank and bond covenants has continued apace. Strong demand from investors has emboldened borrowers to push for, and in most cases achieve, increasing flexibility under their credit documentation. Although we have seen some successful pushback from investors resulting in terms being flexed and, in some cases, deals being pulled.

Some of the notable trends that we have seen emerging in the market this year have included the ability to use capacity under one covenant to create capacity under other covenants, upward-only adjustments to grower baskets, autocure features for financial covenants, testing flexibility for ratios and baskets and extensive EBITDA adjustments. The combined effect of these innovations is to muddy the waters for investors trying to determine the capacity for debt incurrence and value leakage. Our European leveraged loan primary market analysis, combining input from our legal and financial analysts, enables us to guide our clients through this minefield.

It will be interesting to see how this increased flexibility will be used by borrowers when the economic cycle turns. Will it allow them to be more nimble in sidestepping potential pitfalls and avoid defaults, or will it tie the hands of investors and result in greater value destruction and reduced recoveries?

Share this post:
Thank you for signing up
for Reorg on the Record!