Fund finance: Advisor describes the terms borrowers are seeing

Fund Finance Partners’ Zachary Barnett writes that there is far from a standard formula for successfully closing on a subscription credit line. Negotiation leverage is now firmly in the hands of lenders, so many borrowers can expect to have to temper their expectations or give lenders significant other business. Barnett details some of the terms his debt advisory firm is seeing out in the market.

Over in Europe: Ogier has hired a new partner to focus on fund finance in Luxembourg. The fund finance lawyer says that the pipeline is beginning to thaw, and deals – particularly so-call ‘diverse’ NAV transactions – are beginning to flow.

Email prepared by Graham Bippart