London & South East Private Equity Breakfast Forum - 19 March 2019
As uncertainty over Brexit, trade wars and a slowing global economy grows, lenders and the capital markets are likely to become more cautious and selective over the provision of finance to support Private Equity (‘PE’) backed businesses. Some debt market commentators have queried whether we are close to the turn of the credit cycle. David Godbee, a partner in our Debt & Capital Advisory business, will share how PE-backed companies can look to raise debt in these uncertain times, in particular focusing on the alternative lending market which has become the dominant force in financing mid-market PE transactions in recent years.
After a strong couple of years, the UK deals market is starting to feel the effect of Brexit uncertainty, but the underlying conditions for Private Equity deal activity remain positive and any slowdown is likely to be short lived…
Malcolm Wren, a director in our Corporate Finance team, shares his thoughts on the outlook for the London PE market in 2019.
Corporate Tax (CT)
Effective management incentive plans are critical in closing acquisitions and maximising deal value by driving desired behaviour and aligning objectives to the sponsor’s value creation plan. What’s on offer to existing management is clearly very important. An equal priority is the package needed to attract new personnel hired post completion to deliver the strategies for transformation.
The CCO rules apply to companies, partnerships and permanent establishments of all sizes; we’ve found existing controls and documentation for funds and portfolio companies are often not sufficient. We can help.
Malcolm Wren, a director in our Corporate Finance team, gives six observations on the outlook for the London Private Equity (‘PE’) market.
The OECD’s Base Erosion and Profit Shifting (BEPS) agenda is fundamentally disrupting the way the Private Equity (PE) sector has always worked – but with change comes opportunity.
SI 2017/1227 The Corporate Interest Restriction (Consequential Amendments) Regulations 2017 was published on 8 December following earlier consultation.
Reward & Employment
In its latest update, a further 260 employers have been "named and shamed" by the Department of Business Energy and Industrial Strategy (BEIS) for failing to pay the National Minimum Wage (NMW). In addition, the level of fines issued by HMRC was the highest ever. Taken together with the the fact that HMRC currently has more than 2,000 open cases where it is investigating NMW compliance, it shows just what a hot topic NMW has become.
Private Equity Backed Business
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