Distressed-debt deal values are growing at a pace close to double that in 2008, according to a report in the Wall Street Journal. Such deals occur when banks exchange debt for ownership in the companies, and according to the article, which cites Dealogic, are happening in all industries. One quote in the article: "The new cliché among restructuring professionals: Bankruptcy is the new M&A."
I recently spoke with a few investment bankers and private equity professionals focused on the distribution industry for the article M&A Market Shows Signs of Life in the latest issue of MDM. ...
Distressed-debt deal values are growing at a pace close to double that in 2008, according to a report in the Wall Street Journal. Such deals occur when banks exchange debt for ownership in the companies, and according to the article, which cites Dealogic, are happening in all industries. One quote in the article: "The new cliché among restructuring professionals: Bankruptcy is the new M&A."
I recently spoke with a few investment bankers and private equity professionals focused on the distribution industry for the article M&A Market Shows Signs of Life in the latest issue of MDM.
Distressed deals - when one company or private equity firmbuys a business out of or near bankruptcy - are among the most common right now. There are few "clean companies" on the market, Lincoln International's Curt Tatham told me. Not surprising, considering bankruptcy filings have skyrocketed this year; they were up 64.3 percent overall all industries in the first quarter 2009.
Read more about trends in the distribution M&A market.
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