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 1–8 of 8 · filtered from 100Clear filters
  1. 001A Rs 300 crore senior secured loan to Tamrika Water Tech is offered to you at 94 with a 10% coupon and three years left. Defaults run at 4% a year with 60% recovery. What is the yield, the loss-adjusted yield, and would you buy it?Private credit and direct lendingCorePrivate creditCredit research
  2. 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
  3. 034Ekanta Capital Fund I asks for a subscription line. Commitments are Rs 2,000 crore, Rs 1,200 crore uncalled, 70% of it from eligible investors, at a 50% advance rate. How large can the facility be, and what is the lender really exposed to?Private credit and direct lendingCorePrivate creditCorporate banking
  4. 037Mahiraj Facility Services reports EBITDA of Rs 80 crore, but the sponsor's adjusted EBITDA is Rs 100 crore after add-backs, so Rs 550 crore of debt is marketed as 5.5x. What is true leverage, and how would you cap the add-backs?Private credit and direct lendingHardPrivate creditLeveraged finance
  5. 064Private credit case: a veterinary clinic group asks for a unitranche at 5.5x EBITDA with a discount and call protection. Compute the lender's yield if repaid after three years and propose the covenant set.Private credit and direct lendingCorePrivate creditLeveraged finance
  6. 066Case interview: a fast-growing pet food company asks for a loan that takes leverage to 3.0x EBITDA. Is it a good business to lend to, and what would you check first?Private credit and direct lendingWarm upPrivate creditCredit research
  7. 072Overnight case study: an aviation services company offers a second lien loan behind a larger first lien. Build base and downside cases, compute value cover at 6x and 4x EBITDA, and give an invest or pass view.Private credit and direct lendingHardPrivate creditCredit research
  8. 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

Company names and figures are illustrative.