Leveraged Finance

Publications

Rankings and Recognition

With more than 100 leveraged finance lawyers in the United States, the UK, continental Europe and Asia, Dechert advises clients globally in a broad spectrum of leveraged finance transactions and debt restructurings.

We have significant experience advising borrowers, lenders, issuers, equity investors, sponsors, financial advisors and agents in all capital structure layers, including senior credit facilities, first lien/second lien financings, subordinated/mezzanine debt, structured equity, workouts/restructurings, recapitalizations and Rule 144A and Regulation S offerings.

We provide comprehensive, practical and business-oriented advice, applying our tax, restructuring and private equity experience and knowledge of the full range of debt and equity capital structures.

Senior Lending

Dechert attorneys advise equity sponsors, corporate borrowers, lenders and agents regarding complex senior lending facilities, including cross-border currency, exchange and collateral perfection issues. Our senior lending lawyers have represented financial institutions, including leading banks, investment banks and other commercial finance lenders and hedge funds.

Clients rely on us to handle their financing needs, including secured and unsecured loan agreements, asset-based and cash-flow-based financings, general working capital, bankers’ acceptance and letter-of-credit facilities, commercial paper and medium-term note programs, off-balance sheet financings, structured financings, debtor-in-possession financings, and bank note and deposit note programs of domestic and foreign banks.

Mezzanine and Second Lien Finance

Dechert lawyers have represented institutional investors and mezzanine funds in their origination and acquisition of second lien debt, secured and unsecured subordinated debt, structured preferred equity and equity co-investments.

Our extensive experience with a wide range of debt and equity instruments and adept handling of complex intercreditor negotiations, anti-dilution protections, transfer restrictions, exit strategies, recapitalizations and debt restructurings enhance our ability to effectively meet our clients’ financing needs.

Our tax lawyers skillfully structure tax-efficient financings, considering OID (original issue discount), AHYDO (applicable high-yield discount obligation), UBTI (unrelated business taxable income) and ECI (effectively connected income), among others.

High-Yield Finance

We represent issuers, underwriters, placement agents and initial purchasers in high-yield financings across a variety of industries, enabling us to anticipate and respond effectively to industry-specific issues raised by securities regulators. We handle Rule 144A, Regulation S and SEC-registered transactions from our U.S. and European offices.

Recapitalizations, Workouts and Restructurings

Our lawyers represent lenders, agents, borrowers and PE sponsors in out-of-court loan workouts and recapitalizations, handling all aspects of client representation, including negotiation and preparation of transactional and financing documents. We also represent secured creditors, lessors, bondholders, creditor and equity holder committees, debtors, bidders, indenture trustees and other participants in Chapter 11 bankruptcies.

We advise clients on implementing out-of-court restructurings, applying various strategies including pre-arranged and prepackaged reorganization plans, debt conversions, strategic mergers, venture capital financing, refinancing and exchange offers. Our team is also skilled at addressing distressed debt and nonperforming loan issues.

A Top-Ranked Practice

Dechert’s leveraged finance practice has been recognized as a top practice nationally and internationally. The Legal 500 ranked Dechert among the top law firms for acquisition finance and bank lending. We have ranked among the top issuer’s counsel for corporate high-yield debt offerings in the United States and in Europe by Thomson Financial. Additionally, The American Lawyer “Corporate Scorecard” and Chambers UK recognized Dechert as a top law firm for high-yield debt offerings.