Glossary

TERMinology

Our glossary of private capital terms

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

A

Accordion
Add-on
Affirmative Covenant
Agent
Amend-to-Extend (A&E)
Amortization
Arrangement Fee
Arranger

B

Best Efforts Financing
Bookrunner
Bridge Loan / Bridge Financing
Broadly Syndicated Loans (“BSL”)
Bullet Payment
Buyout

C

Call Premium
Capex Facility
Commitment Fee
Compliance Certificate
Consent Solicitation
Coupon
Covenant
Covenant Lite (Cov-lite)
Covenant Loose (Cov-loose)
Credit Agreement
Credit Rating

D

Default Risk
Direct Lending Facilities (DL)
Distressed Debt
Distressed Exchange
Dry Powder

E

EBITDA Adjustments / Add-Backs
Equity Cushion
Equity Kicker

F

Financial Covenant
Financing Grid
First Lien Debt
Fixed Charge Coverage Ratio (FCCR)
Flex

G

Gross Leverage

H

Hard Call vs Soft Call
High Yield Bond
Holdco Financing

I

Incentive Fee
Incurrence Covenant
Indenture
Information Covenant
Information Memorandum (IM)
Interest Coverage Ratio (ICR)

J

Junior Debt

K

No entries under this letter yet, but we’re expanding our glossary.

L

Lead Left
Leverage Ratio
Leveraged Loans
Leveraged Recapitalization
Loan-to-Value (LTV)

M

Maintenance Covenant
Make-Whole Provision / Make-Whole Premium
Mezzanine Financing

N

Negative Covenant
Net Leverage
Non-Call Period

O

Offering Memorandum (“OM”)
Opco Financing

P

Pay-if-you-Can (PIYC) Instrument
Payment-in-Kind (PIK) Instrument
PIK Toggle Instrument
Primary Buyout
Private Credit
Private Equity
Private Placement

Q

No entries under this letter yet, but we’re expanding our glossary.

R

Refinancing (refi)
Refinancing Risk
Revolving Credit Facility
Roadshow

S

Second Lien Debt
Secondary Buyout
Secondary Trading
Senior Debt
Springing Covenant
Structural Subordination

T

Term Grid
Term Loan A (TLA)
Term Loan B (TLB)
Termsheet
Ticking Fee

U

Underwriting Fee
Underwritten Financing
Unitranche

V

No entries under this letter yet, but we’re expanding our glossary.

W

No entries under this letter yet, but we’re expanding our glossary.

X

No entries under this letter yet, but we’re expanding our glossary.

Y

Yield to Call (YTC)
Yield to Maturity (YTM)
Yield to Worst (YTW)

Z

No entries under this letter yet, but we’re expanding our glossary.