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 11–20 of 100
  1. 011Aniketa Biotech can issue a Rs 500 crore five-year convertible at 3% with a 30% conversion premium, or straight debt at 9%. The share price is Rs 400. Compare the interest saving with the dilution if the stock doubles.Capital structure decisionsCoreCorporate bankingSyndicate desks
  2. 012Ekavira Malls buys a three-year 9% interest rate cap on Rs 500 crore of floating debt for a 1% upfront premium. If the benchmark goes to 10.5% for a year, what does the cap pay, and at what rate does it break even?Rates and hedgingWarm upCorporate banking
  3. 013Dhruvika Logistics has a Rs 400 crore bank loan at a floating 9.8% and can issue a five-year bond at a fixed 8.9%. Prepaying the loan costs 0.3%. Should it switch, and what risk changes?Liability management and refinancingWarm upCorporate banking
  4. 014Mervon Hotels has Rs 2,000 crore of floating debt at benchmark plus 250 basis points, EBITDA of Rs 480 crore, and the benchmark at 6.5%. What does a 200 basis point rise do to interest cover, and what does swapping half into fixed at 7.4% change?Rates and hedgingCoreCorporate bankingLeveraged finance
  5. 015Sahajik Finance's loan tape has 2,000 borrowers in four internal grades with a year of default counts. Compute the default rate by grade and the expected loss at 55% loss given default, check whether the grades rank risk correctly, and suggest pricing by grade.Private credit and direct lendingHardJane StreetLondon · 2025
  6. 016Mitravanshi Finance funds Rs 1,000 crore with three-month commercial paper at 7.3% instead of a one-year bond at 8.1%. What does it save in a year, what happens if the paper market shuts for a quarter, and what is a 0.25% backup line worth?Indian debt market executionCoreIndian debt capital marketsRisk management
  7. 017Rushali Ceramics can be liquidated or sold as a going concern at 5x EBITDA of Rs 60 crore. Liquidation would realise 80% of Rs 120 crore of receivables, 50% of Rs 90 crore of inventory and 30% of Rs 250 crore of plant. Debt is Rs 350 crore. Which route gives creditors more?Restructuring and recoveriesCoreRestructuringCorporate banking
  8. 018Kiravan Healthcare needs Rs 1,200 crore. A syndicated loan prices at 350 basis points with a 1% discount, up to 50 basis points of flex and six weeks to close; a private credit unitranche prices at 575 with a 2% fee and certain terms. What is the cost gap, and what is the certainty worth?Leveraged finance and LBO financingCoreMizuhoNew York · 2026
  9. 019Aurvika Telecom faces Rs 800 crore, Rs 1,500 crore and Rs 400 crore of maturities over the next three years, with Rs 300 crore of cash and Rs 250 crore of free cash flow a year. Lay out the refinancing plan and say which maturity to address first.Liability management and refinancingCoreCorporate bankingSyndicate desks
  10. 020The syndicate desk is left with Rs 200 crore of unsold Pavanjit Steel seven-year bonds overnight and hedges with government bond futures. Overnight, government yields fall 10 basis points and Pavanjit's spread widens 15. What is the hedged P&L?Rates and hedgingHardSyndicate desksRisk management

Company names and figures are illustrative.