Wednesday, July 25, 2007
Corprorate debt dries up, what next for BTL
Equity and debt markets in the US and Europe faced the clearest signs yet of a credit crunch on Wednesday when it emerged that financing for two of the largest current leveraged buy-outs had struck significant difficulties. In Europe, bankers leading the £9bn debt financing for Alliance Boots, the largest buy-out in UK history, threw in the towel on trying to place £5bn in senior loans and sold more junior debt at far bigger discounts than expected, leaving themselves with losses. Credit crunch! here comes the housing depression of 2010 and beyond.