Service overview: Acquisition finance and leveraged debt lawyers
Service overview: Acquisition finance and leveraged debt lawyers
- Acquisition finance is the provision of bank loans or the issue of bonds to fund the acquisition of a company (or parts of a company). This finance can be provided to an existing internal management team (a management buy-out), an external management team (a management buy-in), or a third party (an acquisition).
- Leveraged acquisition finance is a type of acquisition finance, when a company, usually with a considerable amount of existing debt, attempts to acquire another company.
- Leveraged finance can be used to achieve a specific, but often temporary, purpose. These include; funding an acquisition, a buy-out, or for a one-time dividend.
- For a lender, if a potential borrower already has a lot of debt, it implies that the funding is riskier. This may make the borrowing more expensive than normal for the borrower.
- Leveraged debt financing often involves different layers of finance, which can seem complicated. These range from a senior secured bank loan or bonds to a subordinated loan. Therefore, if you find yourself dealing in this area, you’re likely to require specialist finance law advice.
“The lawyer’s truth is not Truth, but consistency or a consistent expediency.”
Henry D. Thoreau
What we do: Acquisition finance and leveraged finance solicitors
Our acquisition finance solicitors can advise you on securing leveraged finance for your business, or if you’re looking to secure a buy-in, buy-out or acquisition of a company. We can assist you with your requirements and walk you through these processes to guarantee a smooth transaction. Some of the typical documents, agreements and services we would help your business with include:
- syndicated loan agreements
- bond prospectuses
- credit and security arrangements
- term sheets
- intercreditor arrangements, such as mezzanine, PIK and second-lien debt, or deeds of priority
