#dividend #capitalization

Top 100 Private Equity Firms

 1 Blackstone New York, United States
 2 KKR New York, United States
 3 CVC Capital Partners Luxembourg, Luxembourg
 4 The Carlyle Group Washington DC, United States
 5 Thoma Bravo San Francisco, United States
 6 EQT Stockholm, Sweden
 7 Vista Equity Partners Austin, United States
 8 TPG Fort Worth, United States
 9 Warburg Pincus New York, United States
 10 Neuberger Berman Private Markets New York, United States
 11 Silver Lake Menlo Park, United States
 12 Bain Capital Boston, United States
 13 Advent International Boston, United States
 14 Apollo Global Management New York, United States
 15 Clayton, Dubilier & Rice New York, United States
 16 General Atlantic New York, United States
 17 Cinven London, United Kingdom
 18 Leonard Green & Partners Los Angeles, United States
 19 Ares Management Los Angeles, United States
 20 Permira Advisers London, United Kingdom
 21 Apax Partners London, United Kingdom
 22 Clearlake Capital Group Santa Monica, United States
 23 Goldman Sachs New York, United States
 24 Brookfield Asset Management Toronto, Canada
 25 Ardian Paris, France
 26 Partners Group Baar-Zug, Switzerland
 27 China Merchants Capital Shenzhen, China
 28 Insight Partners New York, United States
 29 BlackRock New York, United States
 30 Platinum Equity Beverly Hills, United States
 31 Hg London, United Kingdom
 32 L Catterton Greenwich, United States
 33 Stone Point Capital Greenwich, United States
 34 New Mountain Capital New York, United States
 35 Hillhouse Capital Group Hong Kong, Hong Kong
 36 Francisco Partners San Francisco, United States
 37 Hellman & Friedman San Francisco, United States
 38 BDT Capital Partners Chicago, United States
 39 TA Associates Boston, United States
 40 H.I.G. Capital Miami, United States
 41 PAI Partners Paris, France
 42 MBK Partners Seoul, South Korea
 43 Bridgepoint London, United Kingdom
 44 GTCR Chicago, United States
 45 Adams Street Partners Chicago, United States
 46 HarbourVest Partners Boston, United States
 47 Nordic Capital Stockholm, Sweden
 48 EnCap Investments Houston, United States
 49 Madison Dearborn Partners Chicago, United States
 50 Andreessen Horowitz Menlo Park, United States
 51 Summit Partners Boston, United States
 52 Genstar Capital San Francisco, United States
 53 BC Partners London, United Kingdom
 54 Baring Private Equity Asia Hong Kong, Hong Kong
 55 Veritas Capital New York, United States
 56 Astorg Partners Paris, France
 57 TCV Menlo Park, United States
 58 Investindustrial London, United Kingdom
 59 CPE Beijing, China
 60 Charlesbank Capital Partners Boston, United States
 61 Welsh, Carson, Anderson & Stowe New York, United States
 62 Onex Toronto, Canada
 63 Sequoia Capital Menlo Park, United States
 64 Berkshire Partners Boston, United States
 65 ECP Summit, United States
 66 Eurazeo Paris, France
 67 Oaktree Capital Management Los Angeles, United States
 68 IK Investment Partners London, United Kingdom
 69 Lightspeed Venture Partners Menlo Park, United States
 70 Roark Capital Group Atlanta, United States
 71 Kayne Anderson Capital Advisors Los Angeles, United States
 72 Accel Palo Alto, United States
 73 Oak Hill Capital New York, United States
 74 Triton Partners London, United Kingdom
 75 China Everbright Limited Hong Kong, Hong Kong
 76 Tiger Global Management New York, United States
 77 Hamilton Lane Bala Cynwyd, United States
 78 Primavera Capital Group Beijing, China
 79 Vitruvian Partners London, United Kingdom
 80 KPS Capital Partners New York, United States
 81 New Enterprise Associates Chevy Chase, United States
 82 Thomas H. Lee Partners Boston, United States
 83 Riverstone Holdings New York, United States
 84 American Securities New York, United States
 85 Morgan Stanley Investment Management New York, United States
 86 Lindsay Goldberg New York, United States
 87 Quantum Energy Partners Houston, United States
 88 Kelso & Company

New York, United States
 89 The Jordan Company New York, United States
 90 PAG Hong Kong, Hong Kong
 91 Affinity Equity Partners Hong Kong, Hong Kong
 92 GGV Capital Menlo Park, United States
 93 TDR Capital London, United Kingdom
 94 Harvest Partners New York, United States
 95 GI Partners San Francisco, United States
 96 AEA Investors New York, United States
 97 Cerberus Capital Management New York, United States
 98 Providence Equity Partners Providence, United States
 99 Accel-KKR Menlo Park, United States
 100 Sycamore Partners New York, United States

Globally, private debt fundraising had a strong start to the year. According to PitchBook’s just-released Global Private Debt Report, 81 new funds have closed so far this year, worth a combined $72.5 billion. Direct lending continues to be the standout strategy, contributing $33.5 billion to the total. Direct lenders had a so-so 2020 compared to prior years, but the first half of 2021 is running at a faster clip.

#hybrid #privateequity #privatedebt

Cap tables usually include a list of names or groups (founders, investors, common stockholders, etc.) on one axis and details around what they own (what type of securities, how many they own, when they invested, what percentage of the company they own, etc.) on the other axis. While there’s no standard format, here’s what one could look like:

Cap table example:

https://info.carta.com/rs/214-BTD-103/images/State%20of%20Private%20Markets_Q2_2021.pdf?

When borrowers cannot secure traditional lending (because they do not have a long history of transactions or do not meet covenant criteria), mezzanine financing can be more highly tailored and often can be packaged to meet the needs of both the borrower and the lender. A key feature of mezzanine financing is payment in kind (PIK)interest. This is generally compound interest that accrues on an instrument but is payable only at maturity. This eases the cash flow burden on the borrower in return for a higher rate of interest payable on the loan.

Mezzanine financing can “fill the gap” between the amount that can be raised using traditional financing and the amount required. For example, if financing is required to purchase an entity for $100m and the acquirer can raise $60m in senior debt (through secured borrowings from the bank) instead of offering the remaining $40m required as equity shares, then mezzanine financing can be used to limit the equity given out on the transaction by organizing $20m in mezzanine financing and issuing only $20m in equity.

Because of the higher risks involved in providing mezzanine financing, this form of financing attracts higher reward. Senior loans returns are generally capped at the rate of interest they provide the loans (6 to 8 percent), with potential for low-percentile gains by selling the loan at a premium. With mezzanine financing, the equity sweeteners allow the lender to enjoy the upside of the success of the business (with typical returns of 8 to 12 percent).

#privatedebt #mezzanine