Diminishing role of mezzanine finance
Article Abstract:
The provision of mezzanine finance in the UK reached a peak in 1989 at around 870 million pounds sterling. It became less important during 1990 to 1995 with 826 million pounds sterling worth of this finance provided. Mezzanine finance is classed as lying between debt and equity and allows businesses to be acquired at higher prices with no dilution affecting the equity return. Mezzanine finance has become less important as equity and bank debt have become more easily available.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1996
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Players fall into many camps
Article Abstract:
UK management buy-out (MBO) players include CINVen and Prudential. Investors using funds from other investors have to pay attention to returns from investments in MBOs. 3i has supported a wide variety of transactions such as an MBO involving Morse Group. Candover is a well-established backer of MBOs and it was involved in a Shepperton Studios MBO in 1995, in addition to an MBO at Albion. HSBC Private Equity's deals have included Gallaher, a subsidiary of American Brands.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1996
User Contributions:
Comment about this article or add new information about this topic: