While U.S. middle market loan volume registered a slight uptick this quarter, the market has yet to approach levels seen one year ago. Although sponsored issuance gathered momentum in 2Q, increasing modestly to $11.9 billion, issuance for the first six months only reached $22 billion—the weakest first half in five years
Monroe Capital CEO Ted Koenig writes that, while signs point to a credit cycle entering its final stages, he expects a softer landing than in 2007. Attractive investment opportunities for non-bank lenders, ABLs and other non-regulated credit providers are expected to continue, as the new landscape emerges.
Sunshine Heart said it exercised the right to borrow an additional $2 million under its existing loan with Silicon Valley Bank.
In-depth data gathered from Bank of America Merrill Lynch’s annual survey indicates that the U.S. economy may be on the verge of a breakthrough. If these projections for revenue and employment growth are on track, it could be the best year for business since 2007.
Regular ABF Journal contributor Lisa A. Miller spoke with five ABL leaders to get the pulse of the ABL outlook for 2015. With an unexpected economic stallout in Q1/14, and the ongoing forces of excess liquidity, tight margins and heavy competition continuing to labor the market, new money opportunities can be challenging. However, optimism abounds as loan growth accelerates, and recent data revealed the banking sector experienced the highest rate of loan growth in 2014 since the economic downturn.
A lack of business credit may be contributing to the Eurozone’s sluggish economic recovery. FGI President/CEO David DiPiero considers whether asset-based lending could be a catalyst for sparking market growth in Europe, outlining key hurdles and how the landscape is evolving.
Howard Brod Brownstein recaps highlights from the Eighth Annual Education and Networking Conference, where bankruptcy court judges, asset-based lenders and attorneys gathered for a day to test their knowledge about the industry, and trade insights on trends and issues in the turnaround, lending and bankruptcy court worlds.
Evidence shows onshore drilling activity in the U.S. is not sustainable, given the current state of oil prices and issues facing producers. Joseph R. D’Angelo, partner at Carl Marks Advisors, looks at restructuring issues facing fracking suppliers and providers, and advises steps to take when ABLs are hit with vulnerable credits.
Robyn Barrett, founder of FSW Funding, says stereotypes about Mexico may deter some lenders from extending credit into the country — a potential missed opportunity. She stresses that every country presents its own set of risks and challenges, and a proactive approach can temper risks and ensure a favorable outcome.