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restructuring__

Restructuring__

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@restructuring__

Founder of Pari Passu, research firm that provides all-encompassing coverage of the most consequential restructuring transactions. Join our free email list!

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52,902 followers · 566 following · Last polled 1h ago
Perf. Score
45.9
Rank #266
Value Score
23.6
#216 of 275 priced
Median views
5.4K
p25 3.4K · trailing 7d
Followers
53K
+0.6% 7d
ER (impr.)
0.42%
eng ÷ impressions
ER (foll.)
0.32%
eng ÷ followers
Est. CPM
$73.99
QT-rate basis
WoW views
+181.0%
▲ rising

Rates & value · est. from 5.4K median organic views

overpriced
Quote tweetbasis
$400
$73.99 / 1K views
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no CPM
Thread
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no CPM
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Value Score 23.6 · rank #216 of 275 priced$11764.71 / 1K engagementsrate age unknown (pre-audit import)

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Follower growth
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View distribution · trailing-7d posts

Each blue dot is one organic post. The Performance Score ranks by the median (5.4K), not the mean (40K) — so a single viral post doesn't inflate a creator's reach. The p25 floor (3.4K) is the level 75% of posts clear.

Recent posts · ranked by views

PostPostedViewsLikesRepostsRepliesQuotesBookmarksER
The definition of the NYC problem: - Mid-30s with a $4mm net worth - Net worth only increasing by $300–400k/year - Will only retire with a low eight-figure net worth https://t.co/is1WBCELfYfrozen4d ago694K1.2K2366246400.28%
https://t.co/veaGkyzxQffrozen6d ago230K81126742160.46%
Joe Baratta is the perfect illustration of the limitless success you could get by picking the right firm, working hard, and letting time do the rest Join at 27, Partner at 33, billionaire in your 40s I also disagree with the sentiment that this is the last generation of private equity non-founder billionaires Quoting here: "The math is as follows, take a random publicly traded MFPE or a soon to be MFPE with new IPOs in the pipeline like General Atlantic. Some “household” or lifetime kid like the next Jon Gray joins as early in their career as possible. Rises to the top and is compensated with very heavy amounts of stock due to ownership alignment and all the other general reasons corporates like to pay stock. The kid is on the path to be CEO. The board and shareholders want the CEO to own a meaningful amount of the company to align interests. Let’s say this person doesn’t even get 1% of the company but only 10bps. If markets keep going up and market caps keep going up eventually one of these $100bn market cap PE firms like BX, KKR, APO etc can follow JPM and other mega caps to becoming a $1T market cap company. This may only be in 20/30 years or whenever when there could be plenty of $10T+ market cap companies in tech or whatever. Now that whiz kid is now CEO of a $1T financial firm / PE firm / asset manager and owns 0.1% or $1B of stock. There is a new PE billionaire"
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HEDGE FUND CARRY MATH PORN Alright, time to crunch some numbers. This is painful. VARA AI is an AI-focused hedge fund. TLDR: they were about to become billionaires, and three months later, they blew up. As of June 30th, they had $26bn in assets, and they were up 200% YTD Let's assume they started the year at $7.5bn, this means that capital accrued to $22.5bn and we add $3.5bn of capital raised for a total of $26bn (reported figure) This means that they realized $15bn of gains. Read that again. $15bn of gains. We are excluding gains for the new capital as unclear when it started paying fees. In my opinion, a fair performance fee estimate is 12.5% on a blended basis. Few hedge funds charge 20% these days. This is a new fund so most likely highest tier is 15%, they likely had some seed capital / internal capital which blends the average down even more. Here is the thing. Assuming 12.5% of carry, that is $1.9bn in carry. Yes, you read that right. In one year. There might be 14 people, but at a single manager, the economics are really only split between the top dogs. Such a fund has less than $100mm/year in expenses, and we are yet to count management fees, which I would suspect are higher than expenses. So, overall I estimate VARA founders had $2bn+ in income (almost) in the bag. Split it between 3-4 people, that is $500mm+ in personal income each (!) Awesome, so what do you do? Everything has gone up with no dispersion in AI, surely this will stop so you degross. Yeahh, maybe next year. You get greedy, you want more fees. The market turns, and ooops, you blew up. Zero carry.frozen8d ago170K55139774080.60%
NON-SUBSIDIARY DROPDOWN PRIMER | PUBLISHED This week, we are passing the pen from our financial analyst to our legal analyst to put the Xerox transaction structure under the microscope to understand how the Non-Subsidiary Joint Venture works, and where it sits alongside other landmark dropdown transactions. We do this by looking at the history of both asset dropdowns and non-subsidiary LMEs (yes, Xerox was not the first, actually!), before running through a simple hypothetical transaction to demonstrate how the Xerox-style non-subsidiary dropdown works step-by-step and its use case: to get around popular asset dropdown blockers. From there, this write-up takes an analytical and critical turn. We think there are some features of the non-subsidiary dropdown that everyone is missing. So we want to bring them to your attention and contribute to the wider discussion around these transactions. Our first claim is that it is too narrow to equate non-subsidiaries with minority-owned joint venture corporations. If we start from first principles, we can see that a joint venture corporation is a means to accomplish a non-subsidiary dropdown, but it is conceivable that there are other ways to achieve this. Next, we claim that it is worthwhile to explore other options, as joint venture corporations do come with significant legal disadvantages for the borrower. In light of these disadvantages, we propose two alternative non-subsidiary structures, using US and UK law, that a borrower can use to avoid giving the incumbent lender majority voting power / an equity position in the entity with the valuable assets. We then conclude with some thoughts on recent market developments and how to think about Xerox Blockers given what we’ve learned today. We are incredibly excited to bring this analysis to you! Read belowfrozen15d ago146K16811153800.39%
2026 is going to be another carnage for the single-manager vs. multi-manager debate Citadel is again up 25% Nasdaq up 22% Coatue 12% Viking and Lone Pine flat Brutal.... https://t.co/JHXGT3LELwfrozen14d ago91K2348153730.37%
This slide from Coatue has to be one of the worst calls of all time Four year later, missed 4 / 4 and called Robinhood a broken business model with no valuation support after the stock was down 90%.... https://t.co/VH2uKARJHlfrozen24d ago88K317101131650.58%
Claude, describe the biggest misconception about hedge funds. Make no mistake. Incredibly spot on. https://t.co/bcYjelvxv4frozen18d ago86K647261365381.42%
Perfect explanation of why Private Equity Carry Is Hard To Realize: 1) Carry is calculated off of fund-level IRR (very different from deal level IRR) 2) Carry is calculated off of fund-level NET IRR (which includes all expenses) 3) Carry is subject to a preferred hurdle rate for the LP 4) Time & Claw-Backs (distributions are very back-weighted / at risk of clawbacks) 5) You need to be in the seat to realize carry (definition of golden handcuffs)frozen12d ago78K31516743290.86%
DAMNN - PE SLAM DUNK INCOMING? Thanks to our friends at Centerview, we have a pretty clear view of the business across the different Walgreens verticals. If we assume that Boots still has no revolver drawn and the pref accrued at 12% (so by now it would be ~$1.4bn), it means the Boots equity attaches at ~$5.65bn ($2.25bn + $2bn + $1.4bn) If Sycamore can sell Boots for $9bn, that would result in $3.35bn of equity value just from selling this segment. Considering they invested $4.2bn of equity for the whole thing, that would mean they return ~80% of their equity within one year while still owning the 3 other segments including all the US business (!!!) Great pref play from GoldenTree too!frozen23d ago70K28612402420.78%
Does anyone have analyst comp figures for Castle Hook? My bet would be for ~$800k-1mm ~$500k is really commonplace for post-PE analysts so would expect Castle Hook at a decent premiumfrozen19d ago66K207070950.47%
Imagine being 24 Making $425k/yr in banking And worrying about making only $350k/yr in private equity (you learn much more and will make more in the long run) https://t.co/BfoFCalFapfrozen6d ago52K3054110790.77%
If you are in finance or tech, you absolutely must read this Matt Levine's piece If you are too busy for it, here is a summary for you The world of AI is dominated by private companies If you want to get economic exposure to these companies, you have 2 options: (i) own stock or (ii) own perpetual futures (i) own stock Very simple to understand but very hard in practice. These companies are private, so unless you have a lot of capital or are looking to pay a lot of fees (through SPVs), sadly you will not own their stock (ii) own perpetual futures (perps) This is more complicated, but equally fascinating. Perpetual futures contracts are basically bets on prices: One person goes long, one person goes short, the short pays the long if the stock goes up, and the long pays the short if it goes down. For public stocks, the price of perps is very efficient (If SpaceX stock trades at $167.60, and SpaceX perpetual futures trade at $165, arbitrageurs will buy the futures and sell the stock until the prices are in line) But perpetual futures on private stock have no arbitrage mechanism to make the price correct so you might say that this does not sound like a great way to get economic exposure to Anthropic stock The interesting thing is that, empirically, it kind of is. In the case of SpaceX, perps did a great job at indicating where the stock was going to price once it went public. The same happened with Cerebras. The conclusion is that, "at least some investors, the actual best way to get economic exposure to Anthropic stock is on Hyperliquid. (Not investing advice!)" Matt also notes how under US securities law, you can’t sell bets on a company’s stock unless that company has registered its stock with the Securities and Exchange Commission (i.e., gone public). So these perps are a non-US product. I am really just pulling heavily from Matt Levine's article. This is his work, not mine. Go check out the full piece at the link below, so interesting!frozen12d ago51K28210304181.39%
That’s how you do it, everyone!frozen24d ago43K93001110.25%
Alright, what did I miss? https://t.co/7yXUg6q8VBfrozen19d ago43K33115941351.16%
Great report covers how governments, corporations, and investors are adapting amid uncertainty of Strait of Hormuz disruption. Sources include broker research, industry tracking data, and expert analysis Read more below https://t.co/xehPciseiMfrozen5d ago38K1011060.05%
Sophos: Yet Another Tough Thoma Bravo Refinancing "In October 2019, Thoma Bravo offered $7.40 per share for Sophos, a roughly 37% premium to the undisturbed share price, implying an enterprise value of about $3.9bn. Thoma Bravo funded the $3.9bn purchase with a Goldman Sachs-led 1L term loan of roughly $1.53bn, split across dollar and euro tranches, alongside a $125mm revolver. A club of direct lenders, including Owl Rock, Ares, and PSP Investments, provided a $420mm 2L term loan beneath it The business kept growing, but its debt had been concentrated on a single date in March 2027. In 2026, with private credit unwilling to refinance on acceptable terms and the sponsor unwilling to add equity, Sophos had to negotiate for time. The resulting September 2026 amend-and-extend pushed the maturity to 2029 at a higher cost, paired with a third-party junior PIK note and a substantial tightening of the credit agreement." Read our full coverage belowfrozen5d ago38K84131370.33%
Pod Shop analyst explaining his thesis to a Single Manager analyst who just spent 2 years in MF PE https://t.co/RpAQ8K4wQOfrozen28d ago34K166110820.74%
Hopefully, in 5 years, we won’t look back at this deal as one of the examples of AI exuberance. - Company created in the last 6 months. - Valuation 4x what it was done weeks before. - Business model focused on a problem that doesn’t seem that essential? - Most importantly, what’s the moat? Being there first?frozen25d ago30K64061380.37%
Gotta love it In the clip where they mention her husband, they pull up his LinkedIn profile Pretty stacked resume https://t.co/V4L9nFFFBrfrozen13d ago29K54041330.31%
Huge congrats to @junkbondanalyst His first edition is 10x better than our first Pari Passu edition, and I am very excited to read his work and see his progress A great and punchy readfrozen5d ago29K149521900.86%
I totally agree with Brett that finance is a few months behind law, and everyone is about to have a huge wake-up call. I took the Analyst Academy and really enjoyed it, so I'm excited to see the progress on AI! Recommend you check out the AI Accelerator program, which I am going through right now - the slide below is a fun one! Shoot me a DM if you have any questions and/or want to get my discount code.frozen26d ago26K1008401300.93%
L Catterton bought RealTruck for $4bn in 2021 at ~13x EBITDA, right at peak Covid truck-accessory demand. This year, the company completed a non-pro-rata LME that raised $300mm in new money from existing lenders and extended its secured debt maturities by three years to 2031. How did the cap stack look at acquisition? Take a look below. To fund the transaction, the company issued a $200mm ABL at S+2.00%, a $1,550mm 1L term loan at S+3.50%, and $600mm senior unsecured notes carrying 6.25% interest. This resulted in an approximate 53% LTV. Read the full coverage: https://t.co/8RJf2DFRfJfrozen18d ago24K92611650.69%
Huge fumble OpenAI and Anthropic should get in a bidding war to buy $AI and take their ticker $AI has a $2bn cap I don't have a single doubt that having $AI vs.$ANTH is worth more than $2bn Being easy to find and buy for retail investors would actually move the needlefrozen29d ago22K2501040.14%
One more software LME coming! https://t.co/odTYh56PQSfrozen19d ago22K30031120.21%
Axon was the biggest hedge fund hotel I ever witnessed in my public days. Every single guy I knew loved that name.frozen24d ago21K50110150.32%
POV: A Gen Z learns what it takes to earn multiples of the average household income in your early 20s in your first job after college https://t.co/IJRIRr6s6d3d ago20K171130491.10%
Thoma Bravo bought Medallia for $6.4bn in 2021. Less than five years later, it handed the company to its lenders and lost roughly $5bn of equity. How did the cap stack look at acquisition? Take a look below. Roughly $5.1bn of equity sat beneath the loan, and with a lender detaching below 30% of TEV, enterprise value could fall by more than 70% before lenders faced any impairment. Read the full coverage: https://t.co/thbDdxgfVNfrozen25d ago20K95520840.93%
Working in restructuring in 2026: “Canva, Create the org chart for Hertz: - Increase a box to illustrate the restricted group - Add a second box for the guarantor group - Add a box for the Oro entity, which is now a JV - Oh, add a middle finger for legacy 2L that got bought back at a 60% discount Make no mistakes; you’re not an intern at a bottom-tier EB like Jefferies”1d ago20K40022110.28%
"In March 2021, Charlesbank Capital Partners joined as a third equity co-investor alongside Clearlake and TA Associates, pushing Ivanti's implied valuation to approximately $4bn, or an estimated 15x LTM EBITDA of $266mm. This represented an approximate doubling of Ivanti’s valuation in less than 12 months. The result was a layered ownership structure made up of three private equity sponsors and a continuation fund full of secondary investors supporting a platform stitched together through more than a dozen acquisitions in under seven years. Ivanti entered 2022 with a capital structure predicated on continued growth. Against $2.8bn of total debt, sponsor-adjusted EBITDA in the $400mm range implied leverage of roughly 7x, a figure that looked manageable for a software business with 90% recurring revenue and no debt maturity inside of four years. On a reported basis, however, EBITDA was likely much closer to $270mm, which implied leverage above 10x. The sponsors' thesis effectively assumed that integration synergies and cross-selling would close the gap between the two figures over time, pulling reported EBITDA up toward the adjusted number. With minimal RCF drawings and $86mm of cash on hand, Ivanti still had more than $250mm of liquidity even after the RiskSense acquisition in late 2021. However, a series of events would unfold over the next three years that not only prevented the synergies from materializing, but actively compressed EBITDA back to the starting point."frozen9d ago19K74120490.66%
The figures are insane: - $52bn M&A financing package for Warner Bros - $44bn of new bonds - $12.4bn of senior secured second-lien bonds - Initial price talk was set in the low to mid 8% area, high 8% area and low 9% area, respectively - Structure is widening: Paramount’s 4.95% SUNs due 2031 were last indicated at a YTW of 8.5% (150bps wide of last week)frozen25d ago16K59021210.51%
Hertz, the next non-sub (JV) dropdown? - Hertz has Oro Mobility in its own subsidiary - Oro Mobility is Hertz’s side business that runs vehicle fleets for ride-hailing and robotaxi companies like Uber, a great asset - Certares and Knighthead purchase 50% of voting units and 16% of common equity of that entity, the entity is therefore a JV (see next tweet) - Hertz also agrees to retire $51mm of 2L due 2029 from Certares and Knighthead at 60% discount (which likely bought this debt before at even greater discount) - Debt is retired at a discount, a JV is ready with unencumbered assets, Certares and Knighthead make a gain on the flip, everyone wins, right? Sorry to whoever sold their 2L to Certares and Knighthead ha! The next step? - Class, you now have a nice entity with unencumbered assets, a ParentCo which needs to extend its maturities. What do you suggest doing? - Raise debt against those assets, a beautiful non-subsidiary dropdown. Maybe, yes! Read our primer on Non-Subsidiary Dropdowns to learn more, awesome work from our legal analyst!2d ago16K66431530.80%
No one… Absolutely no one…. Retail investors on Reddit: how do I take physical delivery of 60 cows in San Francisco, oopsss https://t.co/mZmkhribrGfrozen7d ago16K170722241.29%
CD&R, the high-quality sponsor without LMEs? No more. https://t.co/L404wylfsPfrozen10d ago16K60121190.53%
"EBTITDA: It stands for Earnings Before Training Interest Taxes Depreciation and Amortization" "That is f* crazy." "No, that's awesome" In case you missed it, Coatue is arguing that labs should be valued based on pre-training figures, e.g., pre-training EBITDA. Memes aside, I have a basic question for all AI investors. If you are telling me I should value Anthropic on a pre-training basis, you are effectively telling me that expense can be turned off without material impact to the business. Right? Great, so let's assume we turn training off as we want to, you know, actually generate some cash. Are you telling me this would not create (i) severe token supply glut pressuring prices, or (ii) earlier compute cancellations and commoditization? Either way, the economics do not remain unchanged. So either you keep training on to keep pre-training economics intact, or you turn training off but deteriorate those economics. Surely I am missing something. What is it?frozen15d ago15K81410320.77%
The FirstBrands disaster is now behind us and we have all seen the email below, but what do it mean? What are factoring facilities? And what is going on here? 1) Factoring Basics 2) Dummy Example 3) Common Factoring Structures 4) Reasons for Factoring 5) The infamous Weil email explainedfrozen6d ago15K1108311341.72%
I've had to push back or cancel plans countless times to go back to my apartment and make basic edits to a model or deck in which it took me more time getting back to my apartment than it did to make the change.  This could be an absolute game changer. Senior people on the team can just send the basic stuff to the AI (changing assumptions, updating footnotes, moving around charts on aslide), which is beneficial to them because the edits get done right away instead of waiting for you to physically get back to your laptop.  In addition, note how the context window is now drastically increased. There was a huge debate earlier in the year around the limitations of these tools due to the limited amount of data they could always keep in mind. Now, less than a year later, we are already past that problemfrozen16d ago15K39331310.53%
This is for my small cap investors out there: The lower you go in market cap, the more dispersion you see between sell-side consensus and reality. Bringing AI into the picture introduces some law of large numbers into the picture. 4 analysts predicting earnings? Not accurate. But a model taking in every available input? Much better. The sell side has already been incorporating AI into their reports. It’s about time we see the information from their side. I also will be curious to see how much dispersion there is across models, especially if different submissions rely on the same LLMfrozen12d ago14K25122200.35%
According to our LME data (linked below), Perella is doing quite well with out-of-court mandates. Recent company-side engagements include Ingenovis Health, Optiv, and FXI Holdings (RIP)frozen24d ago14K24020110.26%
> you are Dylan Field, 33, a billionaire with a baby face > in 2010, start computer science at Brown, meet your TA Evan Wallace, a WebGL wizard > in 2011, intern at Flipboard, meet Index Ventures > in 2012, drop out with a $100k Thiel Fellowship, move to San Francisco and found Figma with Evan > the pitch is Google Docs for design, in a browser. designers laugh because Photoshop and Sketch are fine > in 2013, raise a $4mm seed from Index at a ~$16mm valuation > spend four years building before anyone can use it and keep raising more > in 2015, raise a $14mm Series A led by Greylock at ~$77mm > in September 2016, launch to the public as a link > in 2018, raise a $25mm Series B led by Kleiner Perkins > in 2019, raise a $40mm Series C led by Sequoia at $440mm > in 2020, raise a $50mm Series D led by a16z at ~$2bn, then COVID makes everyone remote and your product is the hit > in 2021, raise $200mm at $10bn (5x in a year)  in September 2022, Adobe offers $20bn, ~50x forward ARR. you are 30 years old > regulators in the UK and EU say no (lol), Adobe pays you a $1bn breakup fee > on July 31, 2025, you go public, stock pops 250% and closes at $115.50, a ~$68bn valuation, 3x Adobe's offer > in 2026, everyone freaks out about AI, stock still falls ~80% from the IPO, to a ~$11bn market cap > you do not care, you say "we know this is just the start" and you keep shippingfrozen17d ago14K46211170.48%
Ehhhh I am not sure about “FWIW NIRR matters as well. Simple time value of money to get to the DPI.....” What’s better: 3x DPI in 3 years 4x DPI in 7 years You surely can’t eat IRR, but saying DPI is all that matters is not correct either in my opinionfrozen21d ago13K36111180.43%
Wanted to give a huge shout-out to the University of Chicago for building a dedicated Restructuring Finance Program, the first in the country, to the best of my knowledge. Restructuring is a beautiful and complex field which has historically been massively underserved. It is very exciting to see institutions like UChicago make a point of developing restructuring professionals, and I expect many more schools to follow in future years. I am also very excited to play a very small part in providing members with access to Pari Passu restructuring research.frozen11d ago13K167231451.69%
meta's ai agent is 3 weeks old and the reports already include... – a columnist says it synced 187,000+ rows of his mac messages after he declined – a user says it shared his pickup location with a marketplace buyer – amazon blocked it from shopping meta's answer: the messages sync was opt-in The whole point of this autonomous technology is that people have to trust it in order to adopt it. Focusing on a trust-first experience will be absolutely keyfrozen24d ago12K1012050.14%
Context window no longer a moat? I speak with a lot of public equity software analyst and the limited context window is a common defense they give me to why their names are protected Well…I’m not sure how long this will last and that a great example Snap is the first long-context decision model built for enterprises. > Hand it million-line codebases and it patches the bug with the whole repo in the loop > Give it a year of event logs and it works out what happened first > Drop in a stack of 100-page policy docs and it one-shots the compliance screen on its own. So what’s changed? Snap runs on Subquadratic’s sub-quadratic sparse attention (SSA), which gives it 30x the context window of the industry’s runner-up (Jev). That means it can work across multi-million line codebases,100-page documents or years of customer data sets instead of only a few lines or pages at a time Incredible progressfrozen12d ago12K23114230.42%
Simple representation of myself trying to get differentiated information > You send an email asking for some experts > You go back and forth to find someone that works and a time > You speak for 60 min > Most of them are useful, and you really get value out of 15min > 1 call = $1,000+ = just a few core insights > Scale over 50 names, multiple calls for names, and you see why pods create dedicated teams Qualitate is trying makes easier and change the equation. One centralized repository with thousands of expert calls on the core insights that matter. How painful is it to switch? Will you switch? And why?frozen4d ago12K31221190.46%
> One day in 2026, they will call Google a Secular Short > What are you talking about? I thought Google was the best business to ever exist. > Nah, don't list to Warren Buffett or Chris Hohn. Go read "Sebastian Mallaby’s book The Infinity Machine" > What?? https://t.co/BZ52erPuqAfrozen18d ago11K24110230.43%
CABO @ $90mm market cap Value trap of the decade Down 99%! https://t.co/7vl0joISX1frozen1mo ago11K1804010.20%
About time for Citi to move from a 3 year to a 2 year program Will this change things? In my opinion, no If you want to be a career banker you definitely won’t stay at Citi but join a boutique and much more more with higher percentage in cash https://t.co/5dC4zpD1yFfrozen19d ago11K3602030.37%
The $350mm dividend Medical Solutions paid in 2023 seems shocking I wish I could have been on that earning call!frozen26d ago11K2302040.27%
5 points in the face Day 1… We need Reddit degen investors here Hold 💎💎 https://t.co/R9TncEM2jTfrozen23d ago11K2400120.25%
Truly impressive - including the size of the seed round… Excited to do a Turing Test: Ask for finance commentary in Matt Levine’s voice and style!! https://t.co/IGwtaMKVEsfrozen11d ago11K29001140.42%
This perfectly illustrates Dylan’s point about GPUs increasing in value over time According to Dylan, the cost of intelligence has collapsed drastically. Tokens keep getting cheaper because the same level of intelligence now comes from smaller models, which means far more tokens served per GPU. The cost per token falls, but it falls less than the increase in the number of tokens coming out. So total dollars generated by a single GPU goes up. When the dollars out of a GPU rise, the price of that compute rises with it. Therefore, the cost of compute is not falling. For an existing GPU, it is actually increasing.frozen25d ago10K31221220.57%
If you are paying attention, there is an incredibly clear and strong consistency of messaging from founders.  Last week, Rogo founder underlined the importance of creating a platform where agents can interact among themselves to close deals.  Today, @airwallex founder underlines the importance of creating a platform where agents can interact among themselves to handle your company's finances. The opportunity is immense:  - sweep your idle cash in business accounts to maximize yield - convert your balance to the currency needed to pay your supplier, at the best rate available - route transfers on local rails for faster settlement - reconcile receipts and flag expense policy violations immediately, not at the end of the month. Doing business 5 years from today will be unimaginable. Small businesses now have a path to the same global finance infrastructure that Fortune 500 companies have long relied onfrozen24d ago9.9K15121140.33%
Timely release after our discussion of how $300k/year is not enough to get by in New York for a family. As a former investor, I’d be extremely careful around businesses with limited pricing power. AI will be an accelerator of margin compression. Once a product checks the box, agents will simply buy the better value. Brand/distribution costs will be progressively harder to pass through to the end customer, and new/simpler brands will emerge.frozen11d ago9.8K28111120.44%
This connects well with the discussion on Sunday around the ability for an agent to model in XLS A few thoughts: 1) It will become increasingly important for public companies to allow agents to extract data in a clean and repeatable format. If an agent has to use a third-party company, this creates friction. This product plugs any pdf, excel file, presentations, and data providers like capiq & factset but for this to work, you companies to easily make their info accessible 2) I wonder if there is a world in which that friction can lead to -> models harder to update -> companies harder to cover -> potentially inefficiency. In any case, I am convinced that alpha will remain longer in companies with financials that are harder to access (take this to the extreme and think if a company only had paper financials...). What's good here is there is a emphasis on trying to learn from your existing model structure and apply in future models. No one wants a generic agent, I want an agent that models like I do! 3) I think the natural evolution for agents after updating models is updating cross-company analysis. The below is a great slide from Brett showing analysis of multiples across DAL and AAL. These are painful to update as you might be covering Company A but need to update Company B's model to have that flow into your Company A model. With this tool, the work is exponentially lower (and more fun). 4) Finally, we can talk about reaching AGI and all, but AI is still non-deterministic, so you cannot trust it blindly; auditing and tracking tools will always be key for financial products given "being 80% right means being 100% wrong". Good to see the focus here.frozen23d ago9.3K24163210.59%
It is a busy period for everyone trying to earn a restructuring and special sits role. Sophomores are busy preparing for summer analyst recruiting. Analysts are busy preparing for on-cycle. And that's just scratching the surface. We are here to help, and we built the Restructuring Course with exactly you in mind. To kick off a very busy recruiting period, we are doing a giveaway! Prizes include: a Free Program, large discounts, and free resources for anyone who enters! Enter below!frozen27d ago9.0K701140.14%
Both incredible and terrifying: - In-person relationships will matter even more. I might not trust someone I just speak over Zoom and never see in person. - The ability to scale teams will go through the roof. Are you really that confident you can’t scale relationships? - Give your agent context, and they can ask clients how their son is doing, etc. - The value someone brings is even more tied to the relationships they bring. The value of being able to jump on a call really compresses. - Security becomes even more important. If my grandparents fell for a deep accent scam, imagine how they’ll trust an old friend that loooks 100% realfrozen23d ago8.8K25100160.48%
2026 Restructuring Case Competition | LAUNCHED For years, college students have had access to tens of stock pitch competitions, but no nationwide competition focused on restructuring has existed. This is why we launched the Pari Passu Restructuring Competition in 2025, which is open to any student at any accredited university in the world, including graduate students. Our first year has been a success, and we are excited to open up registration for the 2026 edition! Registrations are open, form below: https://t.co/8XEljXLevafrozen23d ago8.4K1411370.31%
"In October 2019, Thoma Bravo offered $7.40 per share for Sophos, a roughly 37% premium to the undisturbed share price, implying an enterprise value of about $3.9bn. The price worked out to roughly 5.5x FY’19 revenue. The board recommended the offer unanimously, and the deal closed on March 2, 2020. The business kept growing, but its debt had been concentrated on a single date in March 2027. With private credit unwilling to refinance on acceptable terms and the sponsor unwilling to add equity, Sophos had to negotiate for time." Find below the full coverage of Sophos - Yet Another Tough Thoma Bravo Refinancingfrozen8d ago8.3K1802140.30%
Too many cooks in the kitchen? 2008: Founded in Phoenix by Dr. Andrew Weil and restaurateur Sam Fox 2018: Oprah Winfrey invested and took a board seat 2022: raises $100M to expand. 2026: Chapter 11, 12 stores closed, leaning on merchant cash advances Four CEOs in last 5 years, a quick-service spin-off, ghost kitchens, new markets. Just a mess.frozen18d ago8.2K601110.11%
“You thought AI was authorized to give you initial prescriptions?” …. Jokes aside, people way too often forget about the huge regulatory burdens most industries face. Another example of why LLMs cannot penetrate every single vertical. https://t.co/cAMiVoahSZfrozen19d ago7.3K2204160.45%
Almost, fixed it here “Coreweave is fcked” “Yeah dude they’re done I called it” “Have you made money shorting?” “No, have you?” “No”frozen5d ago7.2K2601040.43%
Thank you @junkbondanalyst ! Always knew this space was dramatically underserved and, after 4 years of Pari Passu, glad to have put something together that I strongly feel like has no comparable. Very excited to see early strong reviews + we have a generous guarantee if for some reason you decide this is not for you. Check it out below!frozen10d ago7.2K51110180.99%
Yeah, but not really https://t.co/hwmk0boJUIfrozen7d ago7.2K4400190.75%
The graphic below is something everyone should understand 1) In the AI Capex cycle, the majority of the infrastructure is short-lived vs. long-lived for Telecom cycle 2) In the AI Capex cycle, the costs are linear vs. high upfront and low at the margin for the Telecom cycle (making a bubble easier to form) 3) In the AI Capex cycle, spending tends to be more success-based than in the Telecom cyclefrozen3d ago7.1K91630742.45%
“If they can survive next year, it’ll be on its way to a $500 billion company.” https://t.co/hMJGwQu6PMfrozen7d ago7.1K3301030.52%
Finally filed! Advisors disclosed include Skadden Arps (counsel), Cole Schotz (co-counsel), Perella Weinberg and Houlihan Lokey (investment bankers), Alvarez & Marsal (financial), and Stretto (claims agent). https://t.co/Bk0yKuDD2pfrozen29d ago6.7K3500060.62%
Two replies got over the last few days If you work in restructuring or special sits, you should probably read this edition https://t.co/n8tvdZFFlwfrozen10d ago6.6K34200180.82%
In September 2021, Clearlake Capital acquired Springs Window Fashions for approximately $3.4bn or almost 11x EBITDA The deal was done in the middle of a zero-interest-rate environment and strong discretionary consumer spending, when many people had the time and cash to spend during COVID. In this case specifically, people were stuck at home during lockdowns, which encouraged many to update and renew major home design components, a dynamic called “nesting purchases”. However, inflation and rapid rate hikes pushed up costs while freezing the housing market, so existing home sales and remodeling activity dried up and consumers pulled back on big-ticket home spending. Revenue declined through 2024, margins compressed, and the business started burning cash. By late 2024, SWF had run through most of its liquidity and needed a transaction to keep operating. The company completed an LME in 2024 that addressed liquidity and extended maturities; however, ongoing housing market pressures prolonged distress, and we expect a second transaction within the next 12 months. On Friday, we will dive into the company history, business overview, break down the first LME, and understand where we are today, subscribe now to get in your inbox on Friday3d ago6.5K2222050.47%
How a 2021 software buyout became one of the largest private equity losses ever recorded https://t.co/agaNNgllNQfrozen27d ago6.2K30191190.97%
Thames Water needs little introduction. It supplies water and wastewater services to 16 million people, almost a quarter of the UK population, and sits on almost £23bn ($31bn) of debt. Its ongoing restructuring is one of the largest corporate restructurings ever in Europe. The case has attracted enormous political and media attention, with questions over who ultimately pays for decades of underinvestment and financial engineering. For investors, regulators, and policymakers, Thames Water has become the defining test case for how essential infrastructure is managed in the face of financial distress. Check below the three-part (true) deep dive of Thames Water which we published last year. Let us know if you want a new edition with the latest developments!frozen12d ago5.9K29220281.04%
Well, this is off to a bad start. Literally a day after they started to push ads to monetize, and the experience is bad. Hopefully the founder got a nice secondary sale and he can rinse and repeat another 8-month gig! https://t.co/5xBhKocrp5frozen24d ago5.8K501050.19%
Thoma Bravo bought Medallia for $6.4bn in 2021. Less than five years later, it handed the company to its lenders and lost $5bn of equity. The obvious explanation is that rising rates crushed a highly leveraged software buyout. But Medallia’s original term loan was only $1.8bn, less than 30% of the purchase price. The deal had an enormous equity cushion. So how did lenders end up owning the company? The answer starts with the way the buyout was underwritten. Medallia had little EBITDA, so lenders sized the loan against recurring revenue and allowed much of the interest to accrue. The structure needed strong growth and margin expansion together. Instead, retention weakened, acquisitions added debt, and the cash interest bill rose just as the lender group stopped extending PIK relief. By 2026, Medallia was generating approximately $200mm of EBITDA. Its funded debt had reached roughly $2.8bn, and annual cash interest was approaching $300mm. The business had improved. The capital structure had outrun it. Today, we reconstruct the path from Thoma Bravo’s LBO to Medallia’s out-of-court handover. Read now: https://t.co/EgzT5ZalCVfrozen29d ago5.7K27000180.79%
I hear a lot of pushback from SMBs saying they don’t need AI because their industry has high moats. To me, that’s like saying we won’t make a website or use the internet because we have a high moat. Sure, that moat might give you some runway, but it won’t adapt; you’ll eventually fall behind. And once you’re behind, you’ll never recover as the gap is only getting larger.3d ago5.6K1612240.45%
When I started Pari Passu 4 years ago, this was my stack: - LLC formation service - bank account - credit card information - invoice system Pretty amazing that today you can do all of these things with 1 single service This + AI = explosion of business formation confirmed ✅frozen8d ago5.4K29011130.81%
It’s funny how Silicon Valley has talked about the idea of 1,000x engineers for years, but it’s finally coming to reality. Best talent will no longer have to do busy work but can focus on the higher-leverage tasks. Lower-quality talent will bring much less value as the simple work can be automated. This unlocks huge productivity and growth gains.frozen25d ago5.4K722140.29%
Yields above 5% Extreme fear sentiment Neoclouds CDS to the moon Multiple year-long global wars Extreme concentration Unclear AI economics Oil back near $100 Meanwhile, the S&P... https://t.co/JKve43IAt4frozen5d ago5.4K5921081.29%
I've always wondered how it must feel to live in such crazy times... For the first time this week, I saw some serious FOMO. Multiple friends left excellent buy-side seats to join very early-stage startups. Can't win the lottery if you don't buy a ticket after all, right? https://t.co/pUwn5lCqZf5h ago5.4K54051111.32%
This is spot on and exactly what @HajarnisMohit has been trying to tell me since January "AI is not the same as just deploying software. You're no longer deploying tools that the company is merely enabled by, you're deploying work output in a process. Completely different implementation and enablement process." I am extremely excited around what Mohit is building and believe everyone in finance, law, and investing should find the time to meet and at least understand the problem that, sooner or later, they will need to solve Disclosure: I am an investor and I believe in this. Below is a link to book time to chat with them:frozen23d ago5.2K1102060.36%
What is this? A dark pool on Telegram for venture backed stakes?! https://t.co/aNcuZOFgKn1d ago5.2K3901080.93%
So interesting how a random writeup gets a much higher open rate than Medallia https://t.co/SRPehD980gfrozen22d ago5.2K1602040.43%
The Big Labs are the IBM of the 2020s My view is that, over time, a huge ecosystem of companies will develop around them, and these will be great businesses as well Constellation is one of them!frozen25d ago5.2K800070.29%
PREVIEW: Primer and Analysis of the Non-Subsidiary Dropdown Eight months on, and people are still talking about the innovative asset dropdown in Xerox. The company had created a ‘Non-subsidiary’ by setting up a Joint Venture LLC with the new money providers, giving the lenders majority voting power over the new entity. We have already covered Xerox and the transaction before in March, but we couldn’t help ourselves and rejoin the conversation. On Friday, we are going to be putting the transaction structure under the microscope to understand how the Non-Subsidiary Joint Venture works, and where it sits alongside other landmark dropdown transactions. We do this by looking at the history of both asset dropdowns and also non-subsidiary LMEs (yes, Xerox was not the first, actually!), before running through a simple hypothetical transaction to demonstrate how the Xerox-style non-subsidiary dropdown works step-by-step and its use case: to get around popular asset dropdown blockers. From there, this write-up takes an analytical and critical turn. We think there are some features of the non-subsidiary dropdown that everyone is missing. So we want to bring them to your attention and contribute to the wider discussion around these transactions. Our first claim is that it is too narrow to equate non-subsidiaries with minority-owned joint venture corporations. If we start from first principles, we can see that a joint venture corporation is a means to accomplish a non-subsidiary dropdown, but it is conceivable that there are other ways to achieve this. Next, we claim that it is worthwhile to explore other options, as joint venture corporations do come with significant legal disadvantages for the borrower. In light of these disadvantages, we propose two alternative non-subsidiary structures, using US and UK law, that a borrower can use to avoid giving the incumbent lender majority voting power / an equity position in the entity with the valuable assets. We then conclude with some thoughts on recent market developments and how to think about Xerox Blockers given what we’ve learned. We are incredibly excited to bring this analysis to you! Subscribe now to get the article in your inbox on Friday: https://t.co/SX9bKDumBCfrozen17d ago5.1K28221331.30%
VC with hardware expertise in 2026: Software is out. Hardware is in. https://t.co/1LM0o2ClYAfrozen22d ago5.0K1102120.32%
“To finance rising capex needs, the hyperscalers have issued nearly $250bn in IG debt in 2026 so far, more than the cumulative total of the prior decade” Read that again 2026 > the cumulative total of the prior decade https://t.co/IIs95aXZU0frozen27d ago4.9K36131141.11%
100% support the software -> MCP evolution Firms don’t want to buy off the shelf solutions anymore Deep customization is where we are headedfrozen23d ago4.9K1101130.32%
Yet another software refi to test the market TLs trading at 99 Let's see if KKR needs to give up docs See below our coverage of other software stressed A&Es https://t.co/xVdNcRFsIDfrozen3d ago4.9K1825180.70%
I had a fundamental belief that in-person experiences were very AI-proof, but I am not sure anymore. How many times have you been at a hotel, and the bell boy gives you an attitude for doing his job? Would you really see the experience as lower quality if a robot is serving you as opposed to a human? If you argue a software engineer will bring no value to an organization, will you argue a waiter doesn’t either?frozen8d ago4.9K1510070.47%
Muse, I am slammed Help me find ways to make more revenue Make no mistakes *It’a a real image…. https://t.co/bKJN2Z5Ezhfrozen24d ago4.5K500010.13%
"There is an incentive for both sides to amend and extend those deals because there is obviously a very negative connotation associated with software. Both the creditor universe as well as the sponsor universe do not want to have any news, any bad outcomes here where both sides are scrutinized. If you start to have restructurings, people look at them with more scrutiny." Extract is from our interview with Mark Buschmann, Co-Founder and Partner at Ensis Partners He was recently a Partner in the Special Situations and Restructuring Group at PJT Partners and previously served as a Senior Managing Director at Blackstone's Restructuring & Reorganization Groupfrozen13d ago4.5K21240110.85%
Exhibit #454,382 of what makes Costco so unique Incredible discipline to not maximize short-term profit https://t.co/HaCqFACOtPfrozen23d ago4.3K3401060.95%
If you had said in March that an AI launch would have included “Salesforce is here to stay,” you would have been taken for nuts. Narrative has completely changed now. People are finally starting to appreciate the complexity of enterprise software and the massive work behind the scenes needed to make it work. $CRMfrozen18d ago4.3K622020.28%
Anyone spent time on Fortra / helpsystems? Would love to chat! Especially if you work at Aresfrozen29d ago4.1K601010.19%
"Hello everyone Please go load up on Tesla Our Monte Carlo simulation gives a 53% to 66% CAGR through 2031!" https://t.co/n0ocPg5F68frozen4d ago4.0K1203020.43%
Reminder that our research was used as source in the coop litigation Find below two primers we wrote on coops https://t.co/A4vc4ZGo6lfrozen24d ago3.9K101000.05%
“Going forward, we believe multi-agent world models will increasingly power important applications across AI training, robotics, autonomous vehicles, defense, energy, cybersecurity, and gaming. I completely agree, and it is becoming pretty clear this will just keep compounding with a few consequences: - problems will progressively be solved by brute force - version control will become a nightmare (and a huge opportunity) - many of these verticals will see massive inflows (potentially some dollars that are flowing out of software)frozen1mo ago3.9K1021160.51%
"If you have a large number of humanoid robots, the economic output is the average production x number of robots. My predictions is that you will not be able to even think of something to ask for. There will be more robots than people" Truly believe people keep overestimating AI and underestimating robots/humanoids. The progress shown in the below page is a great example of how quickly robots are increasing the surface of skills they can take on.frozen16d ago3.9K421110.23%
>lead product for news feed and creator monetization at meta and X
>spend years seeing exactly how things grow in the feed
>cofounder scaled facebook groups to 1bn+ users
>build nectar
>$40mm+ raised, backed by Anthropic's Anthology Fund I spent way too much time doing busy marketing work while building Pari Passu, no alpha in that - great to see this!2d ago3.9K1101120.39%
I told Odessa I was: - mindlessly scrolling Bloomberg QMGR pages seeing if anyone would buy my shitco 2L - going through credit docs trying to find the collateral - wrapping up our primer on non-Sub LMEs And, somehow, it suggested something more fun to do today!frozen10d ago3.9K1402040.52%
I have rarely seen a name that bulls love so much and bears think will go to zero as passionatelyfrozen8d ago3.8K2100030.63%
What is the lowest number of players to run a golf league? BC Partners will decide "The RSA defines the “Requisite Players” as the number of players holding certain eligible claims necessary to ensure LIV can continue operating as a “bona fide golf league,” as determined by BC Partners in its “sole discretion.” "frozen17d ago3.7K400110.16%
Reminder to enter our free giveaway!frozen25d ago3.7K100010.05%
Guess the upcoming Pari Passu edition https://t.co/JApIMCbhiUfrozen7d ago3.6K500010.17%
Check out our coverage of Proofpoint from last month. Docs closed but time for more debt now? "Goldman Sachs launched the amend and extend in July, offering to move $5bn+ of 1L term loans from August 2028 to August 2030. The book came up roughly $2bn short at the first commitment deadline. Over the next nine days, an opening package of roughly a dozen amendments grew to approximately forty, including tighter baskets, new LME protections and a mandatory quarterly lender call. The pricing never changed. The loan cleared on August 6 at $4,300mm and S + 4.50%, making the interesting question not what spread Proofpoint paid, but what lenders required instead."frozen8d ago3.6K801040.36%
While matchmakers are businesses with a structural issue (a satisfied customer churns, of course), it is clear to me that AI will be huge for dating. Online dating has taken a massive share, and AI is perfectly positioned to disrupt it even further. Multiple studies have proved how dating success is tied to similarities. Can you think of anything that is particularly well equipped to go through tons of data (people) to find great combinations (couples)?10h ago3.6K1130130.50%
A key co-op objective was to prevent non-pro rata treatment of creditors. However, over the past year or two, we have seen co-ops that, instead of prohibiting non-pro rata treatment, promote it through tiered structures. Medical Solution stands as the first example of such structures On Friday, we dive into the company, history, and restructuring with a focus on its 4-tier coop and detailed LME economics Subscribe below to get the writeup for free on Fridayfrozen23d ago3.4K001110.09%
Historically, a key co-op objective was to prevent non-pro rata treatment of creditors Medical Solutions shocked the world and instead of prohibiting non-pro rata treatment, it promoted it through tiered structures In our coverage today, we dive in the 4 co-op tiers, the tranche sizes, the economics realized in the LME, and much more Read now, link belowfrozen22d ago3.4K11120100.70%
Our second investment ever: Constellation Lab, the Future of AI! Running a research firm means hearing pitches from a lot of new companies. Most aren't worth your time, so you never hear about them. Some are great, and we're happy to partner with them. And once or twice a year, we find one that's truly unique, the kind we want to take a stake in and work with over the long term. Constellation is in that last group. So what do they do? As frontier AI models become commodities, a firm's real edge is its own knowledge: how its best people think and make judgment calls. Constellation helps firms turn that judgment into assets they own, including proprietary context graphs, tools, and fine-tuned models. Your expertise stays in-house, and your inference costs stay predictable. They don't just sell software. Constellation sends forward-deployed engineers, with backgrounds at firms like Citadel, AllianceBernstein, and J.P. Morgan, to work alongside your team and build exactly what you need. Palantir, but for financial services and law firms that aren't buying hundreds of millions in GPUs. I am excited because most firms buy expensive, off-the-shelf software that isn't built to leverage their unique strengths. Constellation takes a different approach, building software on top of its Atlas graph to enhance your competitive advantages. Info below to get in touch!frozen27d ago3.4K812060.50%
If 2+2=4, would expect a $POLY token as the next move This would also perfect fit for IPO down the line because $POLY ticker is available Will also continue to be a great test for Hyperliquid as Polymarket has 10x brand power19d ago3.3K901020.36%
All of the robotics companies are purely focused on performance, but they forget that trust and perception matter just as much. I would never want a scary humanoid in my bedroom, no matter how good it is. This company actually considers the experience of living with a robot, and I am convinced this will be much more appealing to consumers.frozen4d ago3.3K1511020.58%
If you love restructuring, you will love this job. https://t.co/2q4oZ7hdcDfrozen7d ago3.2K15010100.80%
15 minute crypto up/down 🤝 market open 23 hours per day https://t.co/cbLmGwcINHfrozen25d ago3.2K710020.31%
I totally agree that the shared pessimism is overblown. This said, everyone I speak with who works at the AI frontier is deeply convinced that we are a few quarters away from seeing the first AI employee. This is amazing to think about. The same way you hire an employee (think a remote one to visualize), you’ll hire an AI employee to support your team. The value creation should be much easier to measure by then.frozen23d ago3.2K1100130.47%
Anyone spent time on Spring Window Fashions?10d ago3.1K300010.13%
Anyone in credit familiar with the Knot Worldwide and/or Spring Window Fashions My DMs are open and would love to hear from you if so Going to cover them soon at Pari Passufrozen14d ago3.1K901010.35%
If you are confused about what this technology is, that makes two of us. After spending some time, this is how I think about it. When you ask an AI a question, two things happen: 1) Understanding your question. This is like a researcher reading your request and figuring out what you need. It takes a lot of raw thinking power, and standard AI chips (GPUs) are great at this part. 2) Writing the answer, one word at a time. For each word, the researcher has to run back to the shelves to look something up before writing it. They aren’t slow at thinking here. They’re slow because they keep waiting on the trip to the shelves. That trip is the “memory” part. Positron’s chips are built to make those trips much quicker, so answers come out faster. Standard chips rely on a particular kind of fast memory that’s currently in short supply, and @positron_ai ’s design doesn’t depend on it. @general_compute’s idea is to use both kinds of chips: the thinking-focused ones for understanding your question, and the shelf-focused ones for writing the answer. Then they sell the whole thing to companies as one service. This matters most for AI agents, which are programs that make dozens of AI requests in a row to finish a single job. If each request is a little slow, the delays stack up, like a chain of errands where every stop takes a bit too long and the whole trip drags.frozen3d ago3.1K721150.52%
If you are looking to break into restructuring banking or special sits buyside roles, or simply want to improve your restructuring modeling skills—this is for you. We built this program because we experienced firsthand how hard it is to find great restructuring recruiting materials. We're excited to have you try it risk-free. 100% money-back guarantee. Full terms below.frozen11d ago3.1K801070.52%
This is one we have been waiting to write. Medallia is one of the most consequential restructurings in recent memory and one of the clearest case studies of the excesses embedded in the 2021 software vintage. Medallia was founded in 2001 by a married pair of management consultants who could not get a hotel to notice they were unhappy. Over the next two decades, it helped build the category now known as experience management, raised six rounds from Sequoia, went public in 2019, and became an enterprise standard for finding out what customers think. In October 2021, at the peak of the software valuation cycle, Thoma Bravo took the company private for $6.4bn. The purchase was financed not against earnings, because Medallia had almost none, but against recurring revenue, with part of the coupon deferred until the company grew into the debt. The structure assumed growth would continue, but in reality, it had already begun to fade. By the end of 2025, deferred interest had compounded the loan to roughly $2.8bn, rates had more than tripled the cash coupon, and the Blackstone-led lender group declined to extend relief any further. In June 2026, Thoma Bravo handed over the keys and wrote off approximately $5.1bn of sponsor and co-investor equity in one of the largest PE losses ever recorded and one of the largest restructurings private credit has ever executed. Subscribe now to get it in your inbox tomorrow: https://t.co/KeB9gTAHGrfrozen1mo ago3.0K1120020.49%
Much of sponsor-backed software was financed in 2020 and 2021, and much of that debt comes due in 2027 and 2028. In 2026, that maturity wall collided with a market newly worried that AI would erode the value of incumbent software, forcing lenders to decide which businesses deserved more time. Sophos, the cybersecurity company Thoma Bravo took private in 2020, is a useful test case because its problem was largely one of timing. The business kept growing, but its debt had been concentrated on a single date in March 2027. With private credit unwilling to refinance on acceptable terms and the sponsor unwilling to add equity, Sophos had to negotiate for time. The resulting September 2026 amend-and-extend pushed the maturity to 2029 at a higher cost, paired with a third-party junior PIK note and a substantial tightening of the credit agreement. The deal looks almost backward relative to a typical LME. New money sat below existing lenders rather than priming them, and the syndicated market ultimately offered terms private credit would not. It was also the third Thoma Bravo software maturity solution in a matter of months. Explore the transaction in detail with our edition on Friday, subscribe belowfrozen10d ago3.0K13010130.90%
https://t.co/Jd22CD9ccg1d ago3.0K4701141.76%
Last chance to sign up ‼️‼️ Everyone who does will get free resources including primers, premium Pari Passu write-ups, and recorded lessons. + chance to win large discounts and a fully free program!frozen21d ago3.0K511000.23%
I am going to interview someone who worked as a credit investor in both a leading SM and leading platform If you have any questions you’d like me to ask, drop a comment belowfrozen23d ago3.0K300030.20%
Despite nearly a decade of innovation, LMEs had one feature in common until Xerox. The recipient of the asset always fell into two overarching types of subsidiaries commonly found in credit documents: Unsubs (J. Crew, Envision, and Del Monte) and NGRS (Pluralsight). But what if a borrower still wants to raise new money against valuable assets, while its credit documents contain LME blockers restricting transfers into both Unsubs and NGRS?  Well, some creative lawyers in the Xerox transaction appeared to have challenged an underlying assumption: why should the recipient of the assets be a ‘Subsidiary’ at all?  Subscribe now to get the article in your inbox tomorrow: https://t.co/SX9bKDumBCfrozen16d ago2.9K9000130.76%
If it can make the below image, it certainly can make me the org chart of a non-sub dropdown! As part of running Pari Passu, I sadly need to spend time not only looking at distressed shitcos but also making graphics, and AI has a lot of room to run there Text models might be superhuman at code, but images and video are still very hard. @ElorianAI is a whole lab focused on closing that gap; excited to check out their model todayfrozen8d ago2.8K1802010.75%
Anyone spent time on Biscuit International? Covering their 2026 transactionfrozen9d ago2.7K400000.15%
If you are part of a student organization, I would love your help sharing this across your school! Send me a DM if you're willing to help. Really appreciate it!frozen22d ago2.7K101000.07%
Thanks to everyone for playing. Getty Images is going back private. The company went public in 1996, with a nice 30-year run.2d ago2.7K900010.38%
In the 2000s, yellow pages were killed In the 2010s, video rentals and retailers were killed In the 2020s, call centers were killed In the 2030s, what do you think? Below video is perfect case study of speed of change https://t.co/tifCmgjzChfrozen8d ago2.6K1100010.47%
Next step: LEAPS? Long-Term Equity Anticipation Securities https://t.co/6JEi40D1kNfrozen11d ago2.5K800020.40%
Perfect case study about building a business behind secular tailwinds: - Rising physical catastrophe due to climate change - Rising insurance premiums - Rising overpopulation and overconstruction issues https://t.co/AQihhPulDYfrozen9d ago2.5K1500030.73%
Registrations close tomorrow at 11:59PM Sign up now!frozen16d ago2.5K300020.20%
US market: Tapped Next up: Europe https://t.co/k3CQCvvhFIfrozen24d ago2.4K100010.08%
- technology is too powerful, need to stop it - Hm public markets aren’t ready us - anyone wants to give us just a few more tens of billions? https://t.co/9o9yFNJTk9frozen25d ago2.4K801010.41%
In September 2021, Centerbridge bought Medical Solutions, betting the business would keep growing even after post-COVID normalization. However, reality proved much harsher, as premium bill rates finally backfired and pushed hospitals' labor costs to unsustainable levels. Once the acute crisis passed, hospitals rebuilt their permanent nursing staff to stop paying premiums to staffing agencies. As a result, demand and bill rates collapsed together, margins compressed, and leverage quickly became unsustainable, forcing Medical Solutions into an LME in 2026. In this write-up, we'll walk through Medical Solutions' business model, trace the path to distress from the 2021 buyout through the 2023 demand collapse, examine the formation of one of the most contentious lender co-ops in recent memory, and break down the 2026 transaction. Read now: https://t.co/kjYXvpzHCxfrozen22d ago2.3K520030.43%
"Yeah, this deserved to trade at a premium vs. Ford. Confirmed"8d ago2.3K2611031.36%
"The liquidity bottleneck creates significant long-term pressures for LPs as they manage portfolio construction, pacing, and commitment levels. With distributions still well below historical norms, LPs face complex decisions balancing immediate liquidity needs against continued exposure to potentially high-performing assets. Broker surveys show that 31% of LPs cite lack of distributions as the chief constraint on deployment." What are you hearing from the market? What is impacting your fund the most? Find full report below.1d ago2.1K913020.72%
sir... they just dropped a model that is fast, private, open-weight, and works offline Oh, it also delivers 125+ tokens/sec https://t.co/TFbgOhkBCn2d ago2.0K601220.54%
PERPS ON VIX WEN? You wake up bearish, you think markets are about to get spooky, and you want to make money What do you do? A common way to monetize this view is by buying volatility (also referred to as "vol") What does that mean? You want to make a bet that volatility will increase. You are lucky. The VIX (Cboe Volatility Index) is an index which measures the market’s expectation of 30-day volatility in the S&P 500. There is one issue. You cannot buy the VIX, it is not a security, it is a number. But you want to buy vol! Today, your options really only come down to either buying VIX futures and options, or exchange-traded products that hold VIX futures So what's the issue? Well, this is expensive to do because options lose value over time and futures usually cost more than the current VIX, because the market prices in the chance that volatility rises later. That's not ideal, but it is what it is. The VIX is not a security and you cannot buy it. The below article from Bloomberg talks about an interesting innovation! Perps based on the VIX. Perpetual futures ("perps") stay anchored to spot prices through a self-balancing economic mechanism: when perps trade at a premium to spot, the Funding Rate turns positive (forcing long positions to pay short positions every few hours) which incentivizes traders and arbitrageurs to short the perp and buy spot until prices converge When perps trade at a discount, the funding rate flips negative, requiring shorts to pay longs and driving perp prices back up to match reality. It will be tricky here because you can’t buy or sell spot VIX. Arbitrageurs would have to hedge with VIX futures, which don’t track the index one-for-one, but I am sure our financial engineers will figure out a way, but it is not 100% straightforward. It will be fascinating to see if this comes to reality! The downside of perps? No asymmetric payouts which options can offer. But hey, you cannot have everything, can you?frozen9d ago2.0K502020.46%
If you are a restructuring or leveraged finance lawyer, you must read our Primer and Analysis of the Non-Subsidiary Dropdown Out tomorrow. Subscribe now to get the article in your inbox tomorrow: https://t.co/JtfOBNrYy2 https://t.co/YpoStU6Mdsfrozen16d ago1.9K210010.21%
Perfect representation of what AI does to info businesses. Tim Ferriss shared the same sentiment. Unless you’re teaching something technical or with proprietary research, you’re absolutely cooked. The cost of content and education is really going to 0. https://t.co/HieKzcXQcafrozen24d ago1.9K100000.05%
Great move by Cognitive Credit bringing their signature accuracy, speed, and precision to Emerging Markets corporate bonds This joins their High Yield, Investment Grade, and Leveraged Loan universes. Emerging Markets at a glance - Access full financials and disclosures for 400+ EM issuers. - React faster with updated earnings live within 15 minutes of release. - Back high-stakes moves with audit-grade, source-linked data. - Reduce manual research with Gen AI insights and cross-market screening. - Query historical disclosures instantly in our fully searchable library. Link below to see the full coverage and book a demofrozen22d ago1.8K201000.16%
If you are familiar with Sophos, hit me up Cover it soon: https://t.co/f0cvMNhNrC https://t.co/ZjvC8NE1Xyfrozen22d ago1.8K000000.00%
During COVID, consumers stuck at home spent money to improve their living spaces, helped by stimulus checks, low rates, and a hot housing market. Demand for custom window coverings surged, and SWF grew revenue by ~40% in 2020. In September 2021, Clearlake bought SWF in a ~$3.4bn LBO financed with ~$2.25bn of debt, betting that demand would hold up as the pandemic boom faded. However, inflation and rapid rate hikes pushed up costs while freezing the housing market, so existing home sales and remodeling activity dried up and consumers pulled back on big-ticket home spending. Revenue declined through 2024, margins compressed, and the business started burning cash. By late 2024, SWF negotiated a deal with lenders to proactively raise liquidity and capture discount. As of October 2026, negotiations are restarting Read full edition below16h ago1.8K202020.34%
"With the evolution of AI, teams have shifted their work outside of where data traditionally lives, for example through an MCP connector that feeds into a laptop or a phone. Additionally, the user profile has expanded to agents or sub-agents in lieu of just humans. With AI now operating outside of a controlled environment comes new risks. Credentials can cross devices, data movement is amplified across third-party applications, trust boundaries are more fluid, enabling lateral movements across environments, and scale is broadened to an extent that surpasses human activity." Interesting 12-page report on Security, Privacy & Trust in the Age of AI https://t.co/pFRdJbXKZXfrozen11d ago1.8K000000.00%
Medical Solutions and the 4-Tier Coop: Out Tomorrow! In September 2021, Centerbridge and Caisse de dépôt et placement du Québec (CDPQ) bought Medical Solutions, betting the business would keep growing even after post-COVID normalization. However, reality proved much harsher, as premium bill rates finally backfired and pushed hospitals' labor costs to unsustainable levels. Once the acute crisis passed, hospitals rebuilt their permanent nursing staff to stop paying premiums to staffing agencies. As a result, demand and bill rates collapsed together, margins compressed, and leverage quickly became unsustainable, forcing Medical Solutions into an LME in 2026. In this write-up, we'll walk through Medical Solutions' business model, trace the path to distress from the 2021 buyout through the 2023 demand collapse, examine the formation of one of the most contentious lender co-ops in recent memory, and break down the 2026 transaction. Subscribe below to get email for free tomorrowfrozen23d ago1.7K102040.40%
Great report on Security & AI As enterprises increasingly integrate AI models, they evaluate against many types of criteria, but often fail to determine if a model’s output is actually trustable and meets rigorous governance and security standards. As agentic, autonomous functionality takes precedence, trust in AI output is key for high-stakes business decisions. https://t.co/pFRdJbXKZX18h ago1.6K400010.31%
Is investment relations front office :) If your finance organization is only having investment professionals using AI, you are falling behind Great report on how investor relations can leverage AI. This includes: Earnings Call Q&A Prep, Drafting Scripts and Narrative, Competitive Intelligence, and much more https://t.co/uZP2TjaPWi8d ago1.2K300010.32%