Capital Structure of an LBO Private Equity by Bocconi Students PE Club - May 13, 2020May 13, 20200 First published on the BSPE blog By Dorina Barna and Boris Mihaylov LBO stands for Leveraged Buyout and refers to the purchase of a company while using a significant amount of debt to finance the transaction. Usually, the assets of the company being acquired and sometimes those of the acquiring company are
Reverse Merger – A true alternative to an IPO? Private Equity by Bocconi Students PE Club - April 29, 20200 First published on the BSPE blog By Nikolas Huber and Luca Politi Introduction Almost everyone, even when only distantly connected to the topic of shares and stock, has heard about IPOs. Summarized an IPO is a process for a private company to become a public one. But not every private company that wants to
The difficulty of identifying value in uncertain markets Private Equity by Kings Private Equity Club - April 28, 20200 Writer: Oskar Pulkkinen Setting the scene The past few months have seen markets in an uproar, with volatility and risk becoming inescapable realities. Investors are scrambling to profit off of perplexing market movements, dreaming of victories like Bill Ackman’s 2.6 billion CDS hedge. Meanwhile, private equity seemingly stands as a bulwark of
Riding the wave of consolidation: Private Equity and the Payment Industry Private Equity by Bocconi Students PE Club - April 22, 20200 First published on the BSPE blog By Florian Kramer & Konstantin Brandt Over the past two decades, the global payments industry has been subject to significant changes in both its underlying market drivers, and also in its competitive landscape. Driven by rising e-commerce volumes, an increasing demand for digital payment solutions and
Q1 2020 EMEA PE-backed M&A Roundup Private Equity by Bocconi Students PE Club - April 16, 2020April 16, 20200 By Matteo Lana, Francesco Biondo and Antonio Gagliardi As economy insiders know: Q1 2020 will be remembered as one of the darkest periods in the history of capitalism. As Covid-19 spreads worldwide, countries established lockdowns which result in real economic slumps. Despite this, it is clear that as things stand we
Pocket Aces for (Distressed) PE? Private Equity by Bocconi Students PE Club - April 11, 20200 By Stefan Larsen Loan sharks and bookies are famed for having little patience for outstanding debts – we learned this from Tony Soprano and almost every character portrayed by Joe Pesci. Ironically however, the script appears to have been flipped for their legal counterparts today. In the carnage that was March’s public markets, no
PE & VC Trends in LATAM Private Equity South America by Bocconi Students PE Club - March 1, 20200 By Adem Abbas and Fabrizio Coccaro Initially posted on the BSPEC blog Introduction Last year, many investors began noticing Latin America for their large private equity and venture capital deals, often backed by the SoftBank group. With 20% of Softbank’s fund portfolio invested into countries such as Mexico and Colombia due to their
Management Buy-Ins (MBIs) Private Equity by Bocconi Students PE Club - November 5, 2019November 5, 20190 By Peter Maxwell and Štěpán Koníř Initially posted on the BSPEC blog MBI, MBO and BIMBO…No, this is not a fairy tale about the big-eared elephant and his siblings. In fact, these terms refer to a class of acquisitions with an active role of management; management buy-in (MBI), management buyout (MBO) and
Dividend Recapitalization: A second helping of debt Private Equity by Bocconi Students PE Club - October 25, 20190 By Charly Delanoë and Tom Cordes Initially posted on the BSPEC blog Let’s talk about personal finance. When asked to give a good reason to take on a personal loan, what’s the first thought that comes to mind? If you followed any 101 business class or if you balance your own check
Financial Sponsors Group Financial Sponsors Group in Investment Banking Financial sponsors (“Sponsors” or private capital) is an investment banking “coverage” group similar to oil and gas or technology whereby investment bankers cover and act as relationship managers for financial sponsors – however, sponsors are not an industry. A financial sponsor is synonymous with private equity,