Developments in the European Leveraged Loan market over the last five years have taught us that a successful syndication is dependent as much on the supply-demand balance in the secondary market as it is on the credit quality of the borrower.
That has led to a shift in the way in which participants approach the market flex provisions. With markets heading into a period of increased volatility, we expect an increased focus on this key provision.
This month’s market wrap looks at how market flex has developed, and how its use has evolved in the European debt markets.