As alternative financing sources become increasingly more prevalent and important in the capital markets, non-bank lenders and new market entrants have turned to Simpson Thacher for highly tailored advice in structuring and executing innovative and complex capital solutions.
We draw on our deep understanding of the market and strong relationships with key industry players to offer unparalleled, up-to-the-minute knowledge of the latest market terms. With alternative capital and private credit experience in the U.S., European and Asia-Pacific markets, our team is complemented by integrated specialists in banking and credit, capital markets, private and registered funds, fund finance, derivatives, bank regulatory, tax and mergers and acquisitions matters.
Our extensive experience advising direct lenders, private equity funds, investment managers, BDCs, hedge funds, CLOs, investment managers and other institutional investors, as well as borrowers, across the financing spectrum includes:
- First lien and second lien financings
- Stretch senior and unitranche financings, including recurring revenue loans
- Structured debt-equity products, including preferred and common stock, bonds and convertible, PIK and mezzanine notes and warrants
- Joint development arrangements and development financings (with project finance-like protections)
- Holdco financings, including back leverage of minority and preferred equity interests
- Equity kickers and related governance and tax matters
- Synthetic financings, including reversionary interests and forward sales
- Obtaining leverage against assets owned by direct lenders to increase returns
- Purchasing and financing the purchase of loan and debt portfolios
We also offer our debt fund assistance to:
- Analyze and acquire bond and loan exposure in the secondary market, including in debt-for-control contexts, by leveraging our Liability Management and Special Situations group
- Obtain back-leverage against existing investments
- Manage funding obligations using subscription lines
- Comply with backend fund and co-investor requirements