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loans to SMEs due between 2011 and 2014 |
The recovery in the syndicated loan market in recent months now shows signs of filtering down to the mid-market – which will be good news for small and medium-sized enterprises that have been starved of credit during this crisis. The high-yield bond boom that has poured liquidity into the funding market for larger corporates has not been available to SMEs – 85% of loans to which are due to mature between 2011 and 2014. Several new entrants – conscious of the funding gap that persists in this part of the market – are now setting about taking advantage of it.
One such player is HarbourVest, which launched a new fund at the end of April to invest in senior secured loans to mid-market companies backed by private equity.
"The primary market has changed dramatically in the last nine months," says...
