Nonbank lenders have been playing an increasingly important role in the supply of debt financing, especially post Great Recession. These nonbank financial institutions not only participate in syndicated loans to large businesses but also act as direct lenders to small and mid-sized businesses,...

This paper provides a comprehensive study of deal characteristics and participants’ involvement in leveraged buyouts (LBOs) and their impact on target firms’ performance. Using a sample of 501 U.S. LBOs completed between 1986 and 2011, I find that better post-buyout operating performance are...

I investigate whether and how initial conditions around loan origination influence private debt renegotiation process. I model the renegotiation likelihood, and the conditional probability of multiple renegotiation rounds or multiple amended terms using a sequential logit model. I use a large...

We examine the factors that influence borrower's choice between structured finance (SF) and straight debt finance (SDF). Using a sample of 12,075 Western European loans and bonds issued between 2000 and 2011, we find that borrowers choose SF when they seek long-term financing and funding cost...

We investigate the trade-off between incentive provision and inefficient rollover freezes for a firm financed with staggered short-term debt. First, debt maturity that is too short-term is inefficient, even with incentive provision. The optimal maturity is an interior solution that avoids...

Over the last two decades, the leveraged loan market has grown to a size comparable to the market for high-yield corporate bonds, creating a market for “leveraged finance” that includes about $3 trillion in outstanding debt. For issuers and investors in these markets, high-yield bonds and...

Changing macroeconomic conditions owing to the imposed anti-Russian sanctions had a restraining effect on dynamics of corporate lending for legal entities. Growth in credit risk and a sharp increase in the key rate resulted in a reduction in the volume of loan applications and loan approval...

The resilience of the Russian banking system on the back of the surplus of liquidity and capital security allows banks to expand supply on the corporate lending market amid the worsening issues of Russian business. An important role in maintaining the high rates of corporate lending was played...