The structure of loan syndicates in emerging
markets is changing, with larger groups of banks taking
top-tier tickets than ever before. The move appears to be
signalling a shift towards a more typically European model.
That was the message from speakers at the Loan
Market Association’s annual Syndicated Loans
Conference in London yesterday.
Emerging market deals would previously have been
made up of a small number of banks who would sit at the top of
the pyramid as book runners. But that pyramid is now being
inverted as the number of lead banks increases and fewer
institutions step in to take up smaller roles.
"As these blue-chip deals are getting bigger, pricing is
getting tighter and deals are becoming more
relationship-driven," said Alison Ress, head of...