Debt Valuations

With the current volatility in financial markets and news surrounding corporate debt grabbing headlines daily, market participants are increasingly interested in the valuation of debt, bond instruments and portfolios they hold. Sellers and buyers also need valuations of debt instruments and portfolios which they own or are looking to sell, acquire or restructure.  Our experienced team has assisted clients with valuations of a wide range of debt instruments and portfolios for transactions, financial reporting, tax and commercial purposes.

Contact us if

• You own a debt instrument which you are looking to restructure, acquire or sell and therefore need to understand its value
• You require an assessment of an appropriate market interest rate as part of negotiations with fiscal authorities or a third party
• You are required to fair value a debt instrument in accordance with relevant accounting standards
• You are an investment fund (e.g. debt fund, hedge fund or a private equity fund) and are required to regularly assess the value of the fund, including any debt investments
• You are using a loan or a quasi-equity debt instrument such as mezzanine, preference shares or convertible debt as consideration during an intra-group restructuring exercise and therefore require a valuation for commercial, tax or accounting purposes
• You are required to value a leveraged equity position in an LBO which requires the fair valuation of debt

How we can support you

Our team of valuation specialists have considerable experience of  valuing debt facilities such as:

• Corporate fixed rate, floating rate and zero coupon bonds/notes;
• Revolving credit facilities, senior and second lien facilities, mezzanine (warranted and unwarranted), shareholder loans and “payable in kind” instruments in PE backed businesses;
• Hybrid instruments such as convertible debt facilities and preference shares;
• Illiquid issues such as bank debt and B notes;
• Mortgage portfolios (performing and non-performing);,
• Performing and non-performing unsecured lending portfolios, including consumer finance, commercial, wholesale and retail loans, credit card receivables, personal loans, SME loans, motor finance and structured finance; and
• Structured debt products such as Residential Mortgage Backed Securities (“RMBS”) and Commercial Mortgage Backed Securities and interest rate swaps (“CMBS”).