Global Weekly: DuPont Extends into Solar Sector Energy Collective
The biggest deal of the past week was made by chemical giant DuPont, which acquired InnovaLight, a California-based company that develops a silicon nanocrystalline ink for flexible solar panels. DuPont already had revenue of more than $1 billion in the solar market in 2010, and expects that to reach $2 billion by 2014.
The week also featured several innovative companies in the transportation sector, as well as a few corporate-level transactions, including one made by DuPont’s competitor Dow Chemical.
The complete highlights are as follows:
Venture capital and private equity investments
Washington-based INRIX, a developer of a predictive traffic service that anticipates conditions on specific routes, announced a commitment of $37 million in Series D round funding led by Kleiner Perkins Caufield & Byers and August Capital. The investment will be used to fuel acquisition efforts, continued global expansion and R&D efforts The EuropeanLeveraged Loans Course
revolvers, working capital, bridge finance, acquisition, restructuring and CAPEX lines) 1. Senior debt 2. High-yield debt 3. Mezzanine 4. Payment ...
Typical duration/maturity for private equity/LBO debt?
Well, I thought google knows everthing, but I can't seem to find the answer. I am trying to get an estimate of the typical duration (or maturity) of the debt being issued by private equity firms to fund their acquisitions, or so called LBO (leveraged buyout) deals. My guess is that it is 5 years, but maybe I am wrong. I am more interested in the current situation in the United States, but it would be very helpful if somebody could offer historical or global perspective, as well as comment on the motivation to chose that particular duration vs another one, or chose between a loan and debt.
A typical PE firm tends to leverage its buyout with a combination of debt, which can be regular bank debt and mezzanine type funds. The former would be at bank issued rates, and maturity and may be subject to stronger covenants. The latter, however, may be funds sourced by the PE from its own sources, which are generally provided at a higher rate of interest. In this way, the former can be a regular duration of about 5 years, and longer subject to some tight covenants. The latter can be of even shorted duration. A lot would depend on the PE fund's exit strategy.
acquisition debt equity funding - News
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Rights issues on the rise as firms rush to raise cash - Telegraph.co.uk Rights issues on the rise as firms rush to raise cash The equity markets offer a source of funding when the debt markets are closed and allow firms to accelerate growth strategies ahead of difficult times. |
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10-K: BEACON ENTERPRISE SOLUTIONS GROUP INC On December 28, 2007, we entered into an equity financing arrangement with two of our directors that provided up to $300000 of additional funding, |
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10-Q: TONE IN TWENTY Future funding could result in potentially dilutive issuances of equity securities, the incurrence of debt, contingent liabilities and/or amortization 10KSB: EL CAPITAN PRECIOUS METALS INC 10KSB: DALECO RESOURCES CORP |
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10-Q: CASTMOR RESOURCES LTD We anticipate that any additional funding that we require will be in the form of equity financing from the sale of our common stock. There is no assurance, |
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Hanover Real Estate Partners Announces 2008 Strategic Developments Most notably, Hanover raised substantial new equity for five new funds to purchase distressed debt and undervalued real estate assets, and also finalized |
