Protections obtained by mezzanine in recent leveraged financings exceed those contained in the LMA's revised intercreditor agreement. Here's why they are the new market benchmark
There was renewed buzz around CoCos last year, off the back of impressive issuances by UBS and Barclays. Lawyers expect greater diversification of Tier 2 capital instruments in 2013
2012 was a tough year for syndicated lending, with annual volumes dropping by a third across Europe, the Middle East and Africa. And despite almost half of respondents to the Loan Market Association (LMA) members' survey expecting similar levels for the coming 12 months, other signs suggest a more upbeat outlook.
There was renewed buzz around contingent convertible capital instruments (CoCos) last year, off the back of impressive issuances by UBS and Barclays. The permanent write-down – rather than conversion to equity – adopted in both deals led to speculation of a new breed of CoCo. But these deals represent just one of many twists to the classic CoCo concept that will appear this year.
