Debt Capital Markets case studies, worked step by step

Cases
100
Traced to a firm
34
Topics
12
Hard
30
Topic
All topicsPrivate credit and direct lending8Debt capacity and loan structuring9Bond issuance and execution9Credit analysis and ratings12Asset-backed, project and real-asset lending8Structured finance and securitisation9Leveraged finance and LBO financing11Capital structure decisions6Rates and hedging8Liability management and refinancing8Indian debt market execution5Restructuring and recoveries7
Level
AnyWarm upCoreHard
Source
AnyReported at a firmStandard
Showing 41–50 of 50 · filtered from 100Clear filters
  1. 079A contractor buys 50 excavators with 90% loans repaid in equal instalments over five years, and the machines lose 30% of their value in year one. Is the loan ever bigger than the collateral, and when?Asset-backed, project and real-asset lendingCoreCorporate bankingPrivate credit
  2. 080A company at 25x earnings issues bonds at 8% to buy back its own shares. What happens to EPS, and what happens to leverage and the rating as bondholders see it?Leveraged finance and LBO financingCoreDeutsche BankSan Francisco · 2025
  3. 084Size the maximum debt for a port under three limits: 5.0x leverage, 1.35x debt service cover over 12 years at 9%, and 60% loan to value. Which one binds?Debt capacity and loan structuringCoreCorporate bankingPrivate credit
  4. 085A software company with Rs 400 crore of recurring revenue and thin EBITDA offers a senior loan, mezzanine with warrants, or equity. Where in the capital structure would you invest?Private credit and direct lendingCoreHPS Investment PartnersNew York · 2021
  5. 086Can debt ever be more expensive than equity? A distressed company is offered a rescue loan at 16% plus a 3% fee plus warrants for 10% of the equity, or a rights issue at a 30% discount. Which money costs more?Leveraged finance and LBO financingCoreTD SecuritiesNew York · 2025
  6. 090A wind power company can price a green bond 8 basis points tighter than a plain bond, but the label costs Rs 40 lakh a year in verification and reporting on a Rs 500 crore issue. Does the green label save money?Bond issuance and executionCoreFixed income asset managementSyndicate desks
  7. 093A gold loan company runs a public NCD issue with a base of Rs 100 crore and a Rs 400 crore green shoe, three series and four investor categories. Retail is three times subscribed. Work out allotments and the weighted cost of funds.Indian debt market executionCoreIndian debt capital marketsSyndicate desks
  8. 094Evaluate a five-year secured bond from a logistics company at 10.25% and identify all the relevant risks: EBITDA Rs 180 crore, debt Rs 720 crore, one customer at 38% of revenue and a heavy warehouse lease book.Credit analysis and ratingsCoreNuveenChicago · 2025
  9. 095A defaulted textile company's bonds trade at 42. Recovery in 18 months is 30, 55 or 80 with probabilities of 30%, 50% and 20%. What is the expected recovery, and what annual return does buying at 42 imply?Restructuring and recoveriesCoreRestructuringFixed income asset management
  10. 100Two borrowers each have revenue of Rs 1,000 crore, EBITDA of Rs 150 crore and debt of Rs 450 crore. One has half its costs fixed, the other a tenth. Revenue falls 20%. What happens to each, and what does operating leverage mean for the lender versus the shareholder?Credit analysis and ratingsCoreOaktree Capital ManagementLos Angeles · 2024

Company names and figures are illustrative.