Access to the attractive European unitranche lending space

Attractive market opportunity for investors

Banks in Europe withdrew from leveraged lending in recent years, due to regulatory concerns. Thereby, private debt providers have bridged the gap in order to assist European companies’ growth. In particular, there has been a rapid expansion of the unitranche market in Europe, which is underpinned by the unitranche key advantages for all involved parties.

Institutional investors have naturally taken an interest in private debt, which offers an attractive risk-reward profile and differentiated risk drivers to help diversify a portfolio.

Furthermore, working with LGT Private Debt enables investors to benefit from the experience of a pioneer in the European private debt market, as we arranged the first unitranche transaction in Europe in 2007.

Our approach

LGT Private Debt is a pragmatic and opportunistic direct lender with no industry bias. We leverage a proven track record of delivering flexible financing solutions to mid-market companies with enterprise values of EUR 50-250 million (up to EUR 500 million). Moreover, we invest in sponsor-backed LBOs, and have the ability to complete both unitranche and subordinated debt transactions.

LGT Private Debt supports companies in their growth strategy and actively participate in value creation of companies through its ability to commit undrawn lines to finance companies’ capex and add-on acquisitions.

Resilient strategy

The resilience of our private debt strategy is based on the strength of our team, which includes four partners who have worked together for more than 14 years and have an average of 23 years of industry experience. They are supported by a team of 36 professionals based in London and Paris, who are dedicated to sourcing, analyzing and negotiating private debt investments.

Our team's private debt investment efforts have resulted in a cycle-tested track record stretching back to 2005.

Focus on flexible financing solutions

LGT Private Debt help companies obtain the necessary debt financing to achieve their business plans with the use of unitranche and/or subordinated debt

The simplicity of unitranche financing:

• Bespoke financing solution

• Increased speed and certainty of execution

• Fewer institutions to deal with

• Non-limited amortizing allows cash flow to be invested in the business

• Multi-currency transactions

• Availability of undrawn acquisition lines to finance capex/add-on acquisitions

• Easier documentation process

Resilient strategy

The resilience of our private debt strategy is based on the strength of our team, which includes four partners who have worked together for more than 14 years and have an average of 23 years of industry experience. They are supported by a team of 36 professionals based in London and Paris, who are dedicated to sourcing, analyzing and negotiating private debt investments. LGT Private Debt has established extensive relationships with more than 65 private equity sponsors and 45 intermediaries across Europe. This includes many of the top-tier mid-market sponsors in Europe, thus ensuring a steady flow of deals with attractive companies. Together, they further leverage LGT Capital Partners' larger private markets platform of more than 170 professionals, who have relationships with hundreds of private equity sponsors, who also frequently have debt financing requirements.

Our team's private debt investment efforts have resulted in a cycle-tested track record stretching back to 2005.