Coller Capital’s Post

I recently had to dig in on the structure of the Signature loan sale to Blackstone/Rialto. This may be old news to many, but I figured I’d share. A joint venture of Blackstone, CPPIB and Rialto bid the equivalent of $12 Billion to acquire the $16.8 Billion Portfolio from the FDIC in its capacity as Receiver for Signature Bridge Bank. Ultimately, the deal was structured where the joint venture acquired a 20% interest in SIG CRE 2023 VENTURE LLC (“SIG CRE”).  Although the information on the FDIC website is a bit confusing, the price seemingly equates to 70 cents on the dollar. The other 80% member in SIG CRE is the FDIC in its capacity as Receiver for Signature Bridge Bank. The FDIC also provided 50% financing of the purchase. Accordingly, the Blackstone Joint Venture’s out of pocket was $1.2 Billion on its $2.4 Billion purchase of 20% of the $16.8 Billion of loans. Based on my reading of the “SIG CRE” LLC agreement, distributions to the partnership are made pari-pasu. Interestingly, I couldn’t find recorded assignment and allonges from Signature to Signature Bridge and then to SIG CRE.

Direct lenders are in a race to the bottom on pricing as competition ticks up with a resurgence of activity in the lev loan market. Ares Management Corp., AllianceBernstein, Golub Capital and Blue Owl are all linked to EQT's most recent financing package, now priced 1.25% lower than the last round of financing for the same company just 6 months ago. Additionally, direct lenders are increasingly going cov-lite due to pressure from the kingmakers of deal flow....PE sponsors. To top it all off, investors claiming well diversified private credit allocations are now finding different slices of the same deals across multiple direct lending strategies. To my institutional network, are you as diversified as you think you are? Lets talk about middle-market ABL, which does not suffer the same overlap as discussed here. https://lnkd.in/d-26kA2K

#LongStoryShort: What’s behind Clearlake Capital Group’s acquisition of a London-based credit specialist? The private equity heavyweight acquired MV Credit from Natixis Partners earlier this week, strengthening its foothold in the $800 billion direct lending market. The Financial Times reports the deal is worth "several" hundred million dollars. MV Credit, which specialises in European credit investments and CLOs, will expand Clearlake’s credit business by around $5 billion. “Often for us the credit business has been the canary in the coal mine . . . which has a direct effect on our private equity business,” José E. Feliciano, a co-founder of Clearlake, told the Financial Times. This acquisition is part of a wider trend in asset management, where PE firms are bulking up in areas like infrastructure and credit to create more stable, fee-generating revenue. Indeed, consolidation among private market firms has accelerated in recent years. In your view, will this trend continue? #PrivateEquity #PrivateCredit #FinancialMarkets #IndustryNews

At STAC Capital we're backing business. When a forward-thinking company required funds to purchase a factory to operate from, the STAC Capital team made it happen. Drawing from decades of expertise in banking and commercial finance, we secured the necessary financing and structured deal including a 30-year loan with principal and interest repayments, supported by an offset facility for efficient interest management, putting the client's business cash holdings to use. DEAL SNAPSHOT Loan Amount: $2,560,000 Loan-to-Value Ratio (LVR): 80% Borrower Type: Company Borrower This acquisition is more than a property transaction; it's a foundation for continuous innovation and business growth, highlighting STAC’s commitment to realising business aspirations. At STAC Capital, we look beyond the numbers to understand the business behind each application, redefining residential and commercial finance. Mark Trayner Dale Sparke Leigh Blain Darren Bobby Alex Stalder Kendra Bullock Stuart Small Richard Becconsall Max Tyers Anthony Mack Jordan Webb #Investment #BusinessFinance #FinanceBroker #BrisbaneFinance #BusinessLoan #AustralianFinance #Banking #Broker #FinanceBroking #MortgageBroker #PropertyFinance #CommercialFinancing #InvestmentProperty #STACCapital  #FinanceBrokerBrisbane

Business owners buying their own premises ("owner-occupied commercial/industrial") - for as much as $5m of debt, you can get pretty much home loan terms these days: 80% LVRs on 25-30 year loan terms... massive difference versus what many assume is 65-70% on 15yr terms - and in many cases, is the difference between thinking "I can't afford my own premises" versus it being easily achievable.

🚨This is a fascinating transaction where Pluralsight’s private credit lenders have structured a debt-for-equity exchange that results in the lenders taking 100% ownership of the company and putting $250 million of new capital into the business. The rise of private credit has been one of the most significant capital market developments of the last decade. It is estimated that the size of the private credit market was approximately $1.5 trillion at the start of 2024 and could grow to approximately $2.8 trillion by 2028. 💡Goodwin’s thoughts on this transaction here… #goodwinlaw #privateequity #privatecredit

A very interesting transaction highlighting how Roynat can differentiate from other lenders and work collaboratively with the client to simplify their financing structure and help them grow. I would be happy to have a conversation with you about how Roynat can help you achieve your specific goals. Kelly Nicolson, Peter Borsos, Andrew Wilson, CPA, CA, CFA, Katherine Tines

Exciting times are ahead at Avison Young as we near the final stages of a comprehensive debt restructuring deal. Our Chair & CEO, Mark E. Rose, shares insights into the bold steps we're taking to position for sustained success. Read the full story in The Business Journals: https://lnkd.in/eARPmvVv #AYdifference

FS Credit REIT acquired a $351.8 million portfolio of senior loans, enhancing its holdings with 16 performing loans primarily secured by commercial real estate in the U.S. Read the full article on SQX Alts! #REIT #alternativeinvestments #portfolio

Corporate entities and sole proprietorships can experience disruptions in leadership, debt default, and ownership conflicts. Employing a turnaround professional can be more efficient than litigation. The team at Capital Financial LLC works closely with the secured creditor and its legal representatives to preserve, protect, maintain, operate, and otherwise enhance the going-concern value of troubled businesses that might otherwise be lost during bankruptcies, foreclosures, restructurings, liquidations, and related actions while actively pursuing permanent solutions. We identify and implement measures to turn around challenged real estate assets, reset loan covenants, and refinance debts. Learn more at https://lnkd.in/gZrCpReA #CapitalFinancial #turnaroundmanagement #turnaroundassets #refinance