Yesterday, The House Financial Services Committee passed H.R. 3818, the Private Fund Investment Advisers Registration Act.
H.R. 3818 passed by a vote of 67-1 and was introduced by Congressman Paul E. Kanjorski (D-PA), Chairman of the House Financial Services Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises.
H.R. 3818 would amend the Investment Advisers Act of [...]
Bulge-bracket is a term used in corporate finance to describe the largest and often most prestigious investment banks. Although there is no strict metric for this classification, bulge-bracket investment banks typically represent clients with transaction values in excess of $50 million. [NOTE: www.PrivateEquityInfo.com segregates investment banking firms by the enterprise value of the firms’ typical [...]
Mezzanine debt is subordinated debt that ranks between senior debt and equity. It is often a more expensive form of financing because it is unsecured (requiring no collateral) and subordinates to senior debt in case of a default.
Mezzanine debt can be used for a variety of purposes, but is generally used in corporate finance [...]
PrivateEquityInfo.com ranks the top 30 private equity firms in the world.
Senior lenders are typically commercial banks or other institutional lending firms that provide senior debt to corporations for a variety of purposes.
The recently launched Investment Adviser Act will require all Private Equity firms and other similar entities managing assets greater than $30 million to register with the Securities and Exchange Commission (SEC) as of June 2009.
Merger & Acquisition advisory firms, also referred to as investment banks, retain new clients with a negotiable engagement letter that outlines the services to be provided, the fee structure and other general terms of agreement. This article presents an overview of the three most common components of an M&A advisor’s fee structure:
Retainer fee
Success [...]
While there are no strict definitions of a private equity firm and a hedge fund, some distinct similarities and differences separate the two types of firms.
Private equity firms and hedge funds are similar in that both invest from a leveraged pool of capital normally contributed by limited partners; both compensate the management team based on [...]
A company’s capital structure is the relative proportion of equity and debt used to finance assets and operations. A company’s capital structure determines both the nature of its stakeholders and its expected cost of capital.
Capital Structure Balance
The combination of debt and equity to finance assets varies from one industry to another and from company to [...]
Private equity investors employ various transaction strategies to acquire and grow profitable portfolio companies. The categories that www.PrivateEquityInfo.com tracks - acquisition capital, buyouts, consolidations, corporate divestitures, ESOPs, growth capital, recapitalization, shareholder liquidity and turnarounds - are described below:
Acquisition Capital - capital provided to operating companies intended for growth via acquisitions. This capital is normally provided [...]