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 webinar with Q&A
This CLE webinar 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
Fred N. David
Attorney
Gibson, Dunn & Crutcher
Mr. David focuses his practice in the area of debt financing transactions, with an emphasis on acquisition financings... | Read More
Mr. David focuses his practice in the area of debt financing transactions, with an emphasis on acquisition financings and highly leveraged financings. He represents private equity sponsors and their portfolio companies, other public and private corporate borrowers and issuers, and banks and other lending institutions across a broad range of industries, including construction, retail, telecommunications, aerospace, defense and manufacturing, in diverse cross-border and domestic transactions, including leveraged buyouts, recapitalizations, repricings and restructurings involving senior, subordinated, mezzanine, first lien/second lien, asset-based and bridge facilities, high-yield and investment grade offerings, ranging in size from a few million dollars to billions of dollars. Mr. David also advises corporate clients on capital and equipment leasing facilities, receivables securitizations and working capital facilities.
Close
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.
Close
J. Eric Wise
Partner
Gibson Dunn & Crutcher
Mr. Wise is a member of the Firm's Global Finance and Business Restructuring and Reorganization Practice Groups. He... | Read More
Mr. Wise is a member of the Firm's Global Finance and Business Restructuring and Reorganization Practice Groups. He is an expert in intercreditor relationships and complex debt structuring issues, and is frequently asked to advise in financial transactions involving complex intercreditor and debt structuring issues. He advises agent banks in complex leveraged financings. He has extensive experience in complex special situations transactions, involving financial institutions, debtors and corporate issuers in second lien and subordinated financings, mezzanine structures, debtor-in-possession financings, Chapter 11 exit financings, rights offerings, recapitalizations, restructurings, work-outs, Chapter 11 cases, pre-packaged Chapter 11 cases and distressed debt purchases and sales.
Close