The outbreak of COVID-19 has caused widespread disruptions to economic activity worldwide, which has in turn impacted local and global financial markets. The fund finance market has nevertheless seen significant activity notwithstanding (or because of) COVID-19 in the first half of 2020.
The current “higher for longer” interest rate environment has had a range of consequences for fund finance participants,...
The market for private equity (PE) secondaries, or the buying and selling of pre existing PE fund interests,...
On October 30, 2019, the Institutional Limited Partners Association (“ILPA”) publicly released a model Limited Partnership Agreement for...
I. Introduction The outbreak of the current novel coronavirus (also known as COVID-19) has caused significant and wide-ranging disruptions...
We hope that everyone is keeping safe and healthy in these unprecedented times. As the world adjusts to...
To assist limited partners (“LPs”) and general partners (“GPs”) establishing limited partnership agreements (“LPAs”) for private equity funds...
October 22, 2019 Issues for Administrative Agent to Consider By Mayer Brown In a typical syndicated credit facility,...
Subscription credit facilities, which are lines of credit in favor of private equity and similar investment funds primarily secured by the capital commitments of the fund’s investors, are most commonly structured using a borrowing base structure similar to other types of asset-backed loans.
Subscription-backed credit facilities (also known as “capital call” or “capital commitment” facilities, and each a “Subscription Facility”) have served as the cornerstone of the fund finance market for the past 20 years. Loan availability under a Subscription Facility is subject to a borrowing base, which is typically tied to the remaining amount of the pledged uncalled capital commitments of investors satisfying certain eligibility requirements, multiplied by an advance rate.