Mezzanine Debt.
Private market strategies are investment strategies that focus on non-publicly traded investments. These strategies often employ complex financial structures such as mezzanine structures and unitranche debt. To illustrate, consider an example of a private equity firm investing in a…
Use of Leveraged Loans.
In fixed-income instruments, leveraged loans, high-yield bonds, and convertible bonds hold a unique position. These instruments, characterized by either fixed or variable-rate coupons, offer specific benefits and risks to both private market issuers and investors throughout the investment life cycle….
Private Market Strategies.
The investment life cycle in private markets, which includes private equity, real estate, and infrastructure, is characterized by the use of debt financing during periods of development or transformation. This use of debt in private markets is significantly different from…
Private Equity Investments.
Private equity is a distinct asset class that provides investors with the potential for high risk-adjusted returns and diversification benefits compared to public equity holdings. This is primarily due to the specific investment focus of venture capital, growth equity, and…
Private Equity Investment.
Private equity investments are a crucial part of the financial landscape, providing capital to companies at various stages of their lifecycle. This discussion focuses on the valuation of these investments in different scenarios, including venture capital, growth equity, and buyout…
Buyout Equity Investments.
Buyout equity investments are a unique type of investment that differs from venture capital and growth equity investments. They involve the acquisition of a company or a division within a company with the primary objective of transforming and enhancing the…
Venture Capital.
Private equity transactions, including venture capital and growth equity investments, play a significant role in the financial landscape. Private Equity Transactions: Private equity transactions are a significant part of the financial landscape, with buyout equity transactions among mature companies making…
Private Equity Strategies.
The life cycle of a successful company typically involves several stages of development. It begins as a startup, transitions into a phase of rapid expansion with increasing cash flows and profitability, then enters a more stable, mature development period, and…
Alternative Exit Strategies.
Private investments, such as private equity and real estate, go through a life cycle that culminates in the sale or exit of the investment. This final stage is critical as it often determines the returns for Limited Partners (LPs) and…
Due Diligence.
When General Partners (GPs) consider making a long-term, illiquid investment in private equity, private debt, or a private asset or project in real estate or infrastructure, they conduct a thorough due diligence process. This process in private markets aims to…