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How the Growth of Private Credit is Impacting Private Equity

OfficeHours

The growth of private credit can be traced back to the Great Financial Crisis of 2008-2009. Following the GFC, the government enacted new regulations that limited banks’ abilities to underwrite highly leveraged financing. Second, private credit investors are able to provide substantially more flexibility for borrowers.

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Representation & Warranty (R&W) Insurance – Current Market Trends

Cooley M&A

From 2008 to 2018, the total R&W policies bound per year in North America rose from 40 deals, providing $541 million of coverage to 1500+ R&W insurance transactions, providing aggregate coverage of $38.6 Oftentimes, with additional due diligence and negotiation, certain exclusions can be narrowed or eliminated. Contributors.