Challenging Exit and Debt Conditions Prompt Financial Sponsors To Adopt Workarounds

Faced with high interest rates and a weak exit market, financial sponsors are turning to alternative means to fund new investments and return liquidity to their limited partners. Skadden’s Pete Coulton, Sebastian FitzGerald, George Gray, Richard Youle, Tori Sellwood and Arista Lai discuss financial sponsors’ use of secondaries transactions, refinancings and recapitalizations as effective, albeit in certain cases temporary, solutions to current challenges.