Evaluating Key Intercreditor Arrangements: First Lien/Second Lien, Split Collateral, Senior/Mezzanine, Unitranche
Comparing and Contrasting Intercreditor Structures, Choosing the Arrangement Best Suited for the Deal
Recording of a 90-minute premium CLE video webinar with Q&A
This CLE course will provide counsel with context for negotiating intercreditor arrangements by comparing critical aspects of the most common arrangements--first lien/second lien, split collateral, senior/mezzanine, and unitranche structures. The panel will also discuss significant recent trends in intercreditor arrangements and salient problems.
Outline
- Overview and comparison of the four most prevalent intercreditor arrangements
- First lien/second lien
- Split collateral
- Senior/mezzanine
- Unitranche
- Prevalence of the different intercreditor arrangements
- Factors driving the choice of intercreditor arrangement
- Risks involved in the intercreditor arrangements, including the pros and cons of the different intercreditor arrangements
- Recent trends in intercreditor arrangements
Benefits
The panel will review these and other noteworthy issues:
- What are the key differences in structure and terms among the various types of intercreditor arrangements?
- What are the most significant risks associated with the different intercreditor arrangements?
- What factors are primary determinants of the type of intercreditor arrangements best suited for a particular transaction?
- What are the trends in different intercreditor arrangements?
Faculty
Jason S. Friedman
Partner
Mayer Brown
Mr. Friedman’s practice primarily involves representing banks, borrowers, private equity sponsors, hedge funds,... | Read More
Mr. Friedman’s practice primarily involves representing banks, borrowers, private equity sponsors, hedge funds, insurance companies, alternative asset managers, and other institutional investors in a broad range of domestic and cross-border debt finance and financial restructuring transactions, bankruptcy cases, special situations investments, and distressed acquisitions. He has extensive experience with acquisition and other leveraged financings, direct lending transactions, asset-based lending, investment grade financings, unitranche financings, dividend recapitalizations, bridge loans, complex liability management transactions, and debtor-in-possession and exit financings.
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Yair Y. Galil
Of Counsel
Gibson, Dunn & Crutcher
Mr. Galil is a member of the Firm's Global Finance Practice Group. He represents a variety of clients,... | Read More
Mr. Galil is a member of the Firm's Global Finance Practice Group. He represents a variety of clients, including sponsors, issuers, financial institutions and investment funds, in complex financing transactions. The business contexts for these transactions have ranged from ordinary-course credit increases and refinancings to pivotal credit such as acquisition financings and debtor-in-possession and bankruptcy exit financings, as well as special-circumstances transactions such as debt buybacks and covenant relief amendments.
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J. Eric Wise
Partner
Alston & Bird
Mr. Wise is a partner with Alston & Bird’s Financial Restructuring & Reorganization Group. He has... | Read More
Mr. Wise is a partner with Alston & Bird’s Financial Restructuring & Reorganization Group. He has extensive experience with Chapter 11 matters, workouts, rights offerings, recapitalizations, restructuring, post-petition and exit financing, and distressed debt purchases and sales. He has also cultivated expertise in junior capital and special situations financing structures. His restructuring clients include first-lien credit groups, junior lien creditor groups, unsecured creditor groups, official committees of unsecured creditors, equity holders, post-petition lenders, debtors, lenders, arrangers, and borrowers in new money originations. His experience spans various industries, including shipping, telecommunications, health care, hospitality, real estate, steel, automotive, chemical, energy, transportation, financial institutions, and paper and forest products.
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