Continuation Funds and the Hybrid Capital Boom: How Junior Debt Is Bridging the GP-LP Liquidity Gap
The private equity industry faces a structural liquidity crisis. Five-year DPI (distributions to paid-in capital) has fallen to its lowest...
Forward for Specialty Finance
Marketing Due Diligence: What Lenders and PE Sponsors Now Examine in Portfolio Company Go-to-Market Strategies
The due diligence playbook for middle market transactions has evolved significantly. While financial, legal, and operational assessments remain foundational, a...
The Dividend Recap Surge: Why Sponsors Extracted $22.4B in Early 2025 (Up 60% YoY) and What It Means for Credit Quality
Private equity sponsors are increasingly turning to dividend recapitalizations to return capital to investors amid one of the most challenging...
The Lender Beauty Contest: How PE Sponsors Evaluate and Select Financing Partners in a Crowded Private Credit Market
The middle market lending landscape has undergone a seismic transformation. Private lenders now account for 85% of leveraged buyouts, up...
Liability Management Exercises (LMEs): The “Drop-Down” and “Uptier” Playbook Reshaping Distressed Middle Market Credit
A transformation is underway in how distressed companies and their creditors negotiate financial restructurings. Liability Management Exercises — commonly known...
Covenant Defaults Rising to 3.5%: What Lincoln International’s Data Reveals About Emerging Stress in Direct Lending
PIK usage, 'bad PIK' trends and $21 billion in lender takeovers signal evolving portfolio stress, but strong fundamentals complicate the...
Middle Market Debt Weekly: Optimism Rises as Credit Stress and Liquidity Risks Surface
The week ending January 11, 2026, presented a striking paradox for middle market participants: while dealmaking sentiment reached a six-year...
The 5% At-Risk Scenario: Stress-Testing Middle Market Portfolios for 2026
While headline default rates remain low, a closer look at the 5% of middle-market borrowers under real strain reveals where...
Middle Market Debt Weekly: 2026 Begins with Cautious Optimism as Middle Market Lenders Tighten Discipline
Week Ending January 4, 2026 2026 Opens with Cautious Optimism as ABL Sector Embraces "Trust but Verify" Mandate The week...
Manufacturing’s Tariff Test: How Input Cost Inflation Is Reshaping ABL Borrowing Bases
New tariffs are quietly inflating inventory values while eroding real collateral strength, forcing asset-based lenders to rethink advance rates, appraisals,...
