Bank Finance – Senior & Junior Debt

The banking market has evolved in recent years with new regulatory and capital requirements having a significant impact on the pricing, tenor and terms on which banks are willing to base their lending decisions. This has had the impact of making the market much more fluid with appetite and preferences varying significantly across domestic and international lenders and at different times. With significant corporate lending experience across the team, Centrus understands the importance of lender relationships in delivering successful outcomes and maintains close contacts with the key lenders to our sectors as well as new entrants seeking to gain market share. These relationships provide us and our clients with a clear understanding of lenders’ specific preferences around structure, sectors, credit quality, tenor and pricing, allowing us to direct opportunities towards the lenders most likely to align with our clients’ funding objectives.

Our team’s banking experience also provides us with a clear insight into how banks appraise specific credits and lending opportunities and our aim when engaging with bank debt raising processes is to address as many of the key issues and questions likely to be raised by banks as possible in order to streamline the approval process and to increase the likelihood of a favourable response. Where possible, we will seek to bring multiple lenders into play in order to generate competitive tension for structure, terms and pricing. In these situations, we support the borrower by preparing a full information memorandum setting out the company’s credit story as well as the preferred structure and terms. This forms the basis of a series of bank meetings/presentations followed by receipt and evaluation of offers and negotiation with a preferred funder. Centrus will then work with the company and its lawyers in order to ensure that the commercial terms are properly reflected in the legal documentation to be entered into.

If interest rate hedging forms an integral part of the funding package in question, Centrus will ensure that the costs associated with hedging are properly understood and agreed early in the process so that this forms part of the overall economic appraisal of the offers received.

Service Contacts

Phil Jenkins

Phil Jenkins

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Geoff Knight

Geoff Knight

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Paul Stevens

Paul Stevens

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Robert St John

Robert St John

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