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Securitisation is not dead

Securitisation is not dead

By Michael Heise, chief economist Allianz Group/Dresdner Bank

Special focus: Sub-prime and leveraged loans

Special focus: Sub-prime and leveraged loans

Follow the buildup to today's subprime and leveraged loan problems.

June 2008

LBO market braced for messy restructurings

Anyone with a brief to outline the benefits of mezzanine lending over the hedge fund and CLO money that recently replaced it could do worse than sit back and wait for the first wave of recent LBO deals to go wrong.




Another fine mezz
Lenders rewrite their terms of engagement

Most of the deals written in the past few years still have some way to go before they need to be refinanced, but if economic conditions continue to deteriorate many could hit the buffers well before term.

Just how the restructuring of a distressed corporate with large amounts of debt in the hands of institutional lenders will play out is the great unknown in this market. The...


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