@davidand_brooke David Brooke and team - working with you has been the best and most fun experience. I won’t be far away but will miss you in a major way
Today starts Refinitiv LPC's 2-day Virtual Loans Conference. Its not too late to register. Looking forward to listening to 8 heavy hitting panels today and tomorrow. So many great speakers are lined up. And attendance is free! https://t.co/1O5n2PGff6
Another BDC earnings season has come and gone. If you want a quick 10 minute recap of the 2Q20 themes, check out myself, Andrew Hedlund and David Brooke's videocast!
BDCs are showing a rebound in nav per share in 2q20 but non accruals are still an issue. Out of 33 public BDCs to report so far 21 showed an increase in their portfolio non accrual rate
First an increase on leverage limits, then a Covid-relief measure introduced and now AFFE looks like it could be relaxed - BDCs have quite a few friends in Washington
https://t.co/0gRpTMv8r3
@TCWGroup's private debt fund experienced a cybersecurity breach in connection with broader firm, says investment holdings were not affected, according to SEC filing https://t.co/XaY49UzRRv
Middle Market M&A unlikely to normalize this year, lenders are not expecting a rebound until sometime in the middle of 2021 at the earliest. https://t.co/FBdcDI6rel via @iimag
Now with BDC earnings season over, myself, @fran_beyers and @AndrewHedlund discuss some of the highlights - Markdown inconsistencies, NAV declines and covenant breaches @LPCLoans
https://t.co/Yi8SMXE44O
Myself @fran_beyers and @AndrewHedlund
got together to discuss some of the key issues in the next round of BDC earnings - how far is NAV going to plunge? how deep will the dividend cuts be? and what liquidity issues will some face? @LPCLoans
https://t.co/zBGsEKq9DL
Unitranche volume was down in 1Q20. Holds levels will be much lower moving forward compared to 2019 peak levels as lenders preserve cash for portfolio companies
Report on the expected dividend cuts in the BDC market - more to come as lenders contend with underperforming companies in 'non-cyclical' industries w/@AndrewHedlund @LPCLoans @ReutersUS
https://t.co/Atq94ggxJT
With 3/31/20 passed, sources indicate issuers in harder hit sectors by COVID-19 struggled to meet P&I payments. The direct lending market is getting creative in how they are helping these issuers make payments.
Typically each year January starts out slow in middle market lending and then accelerates into February and more so into March, but this year volume dropped between February and March. This hasn't happened since the GFC back in 2008.