Private Equity

It has been a cruel summer, not just for Taylor Swift fans navigating Ticketmaster, but also for the leveraged finance market, as borrowers and lenders alike faced a challenging economic climate and tight credit conditions. However, cooling inflation and signs of a reopening of the syndicated loan market suggest we may soon be out of the woods. Looking ahead to the second half of 2023, we expect borrowers to take advantage of a reopening syndicated loan market to refinance and extend maturities on existing debt, while exploring alternative financing structures to maximize liquidity and manage capital costs. If interest rates continue to rise, some borrowers may need to explore liability management solutions, as rising interest expenses put strain on their balance sheets.

Read the alert here.