PE-Backed Companies Were 65% of Q1 2025 Debt Defaults
According to Fitch Ratings, 15 of the 23 leveraged loan and high yield debt defaults in Q1 were by private equity-owned companies. Portcos also dominated large bankruptcies.
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Inflated Infra NAVs Cast Shadow Over Secondaries Transactions
The private infrastructure asset class has a problem with net asset valuations. GPs self-report their portfolios’ worth, third-party accounting firms verify this work, and LPs make investment decisions based on these figures — but many question the methodologies used for these calculations. Says one executive, “It’s a sham.”
CVC Dreams Big with $5B Dream Games Acquisition
Plus: We outline portco M&A and exits from last week.
Thoma Bravo’s $10.5B Boeing Deal Braces for Turbulence
Plus: Fitch downgrades ‘deteriorating’ global leveraged finance market and we outline portco M&A and exits from last week.
KKR’s $3.1B OSTTRA Play is Firm’s First Foray into Post-Trade Services
Plus: We outline portco M&A and exits from last week.
Artificial Intelligence May Slash Operating Teams
Fewer operating professionals will be required to get the same (or better) outputs at the portfolio company level.
Mega Merger? Behind Bain’s 30x EBIDTA Price Tag on HealthEdge
Plus: We outline portco M&A and exits from last week.
Colonial Joins Brookfield’s Growing Pipeline Portfolio in $9B Deal
Plus: We argue that data centers are a bubble and outline portco M&A and exits from last week.
Lessons Learned from 3G’s Historic Burger King Turnaround
Recent quarters have been a bloodbath for PE-backed restaurant chains. 3G’s stewardship of Burger King offers insights for operators.
Why Morgan Stanley Missed the $6B Mark on its Fourth Infra Vintage
Morgan Stanley (NYSE: MS) launched the fourth vintage of its flagship infrastructure fund series, North Haven Infrastructure Partners IV, in 2022. By March 2023, the fund had raised $4 billion. It stayed in the market for another two years, stagnant. Here’s what happened.
Clearlake’s $7.7B Dun & Bradstreet Deal Among Largest B2B Data Plays
Plus: We warn that infrastructure portco valuations are at risk with the impending IRA repeal and outline portco M&A and exits from last week.
Sixth Street’s $3.8B Giants Deal May Cost Fans
Plus: We argue why the IRS should keep the ‘DA’ in ‘EBITDA’ and outline portco M&A and exits from last week.
Why Most Portcos Are Far From Being ‘AI-Ready’
GPs’ expectations for generative artificial intelligence to drive business growth are high. Do they match portcos’ realities?
Burgeoning Small Cells Low Risk? Behind EQT’s $4.25B Crown Castle Deal
Plus: We doubt anti-ESG crusaders will make real inroads with private markets and outline portco M&A and exits from last week.
Higher US Employment Litigation Risk for Article 8 and 9 SFDR Funds
The EU law’s operational stipulations for sponsors could prove to be a double-edged sword at the portfolio company level — especially during Trump 2.0.
Sycamore to Fund $24B Walgreens Buyout with 80%+ Debt
The industry average for take-privates in Q4 2024 was 53%. Experts worry this puts Walgreens at a high risk of default and bankruptcy.
Analyst Predicts Sycamore to Strip Assets, Close Stores at Walgreens
Plus: We introduce Portco News and outline portco M&A and exits from last week.
Can Warburg Pincus Make Its $1B VIP Play Another Triple Threat?
Plus: We’re skeptical of PE firms’ interest in accounting firms and outline portco M&A and exits from last week.
PE Ownership and Bankruptcy Link Strengthens in Healthcare, Retail for 2024
Companies in these sectors with private equity backing were far more likely to go bankrupt than their non-PE-backed counterparts, according to new research.
Bain’s $3.3B Tanabe Carve-Out Rewrites Rules for Japanese Pharma
Plus: We lament that LBOs may return to their debt-heavy heyday and outline portco M&A and exits from last week.
Leonard Green’s Twice-Bankrupt JOANN: A Cautionary Tale?
Wrong industry, wrong time? Or a 13-year-long, PE-backed path to bankruptcy? We take a deep dive into Leonard Green’s troubled stewardship of the asset.
Dissecting Bain’s $3.2B Surgery Partners Bid
Plus: We wonder just how bad tariffs will be for PE and outline portco M&A and exits from last week.
Are All of 2024’s Bad Assets in Continuation Funds?
Common assumption is that operationally-challenged assets are typically rolled into secondaries vehicles rather than exited. What does the research say?
Will HIG’s Old Playbook Work with $1B Kantar Media Carve-Out?
Plus: We challenge the long-term viability of healthcare roll-up strategies and outline portco M&A and exits from last week.
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