Buyers push for alignment on GP-led deals

Sponsors accept ‘first dollar loss’ to counter rich GP-led terms.

GP-leds: A growing number of sponsors are agreeing to take an initial economic hit on underperforming GP-led deals in order to get them done, reports Rod James. Terms on GP-led deals have become increasingly favorable to sponsors, and borrowers appear more and more keen to ensure alignment of interests.

Email prepared by Graham Bippart