Citywire | PE Firm Permira Seeks to Up Evelyn’s Debt to Pay Shareholder Dividends
Feb 2024
Originally posted by Citywire on February 15, 2024.
The majority shareholder of Permira, Evelyn, wants to increase its debt through a dividend recapitalization to pay itself and other shareholders.
Private equity has used dividend recaps for years but ended that practice when interest rates rapidly rose. That cautious mindset has changed as rates and the market are seemingly stabilizing.
Aude Doyen, Managing Director in our Capital Advisory Group, commented, “In discussions with lenders, it’s clear they are now more open to considering dividend recaps, particularly for companies that have managed to grow amidst the challenging macroeconomic environment.”
Dividend recaps are a useful tool in returning some funds to investors and can improve metrics like distributed to paid-in capital.
Summary
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Lincoln International’s Aude Doyen offers a perspective on dividend recapitalizations to Citywire.
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I build trust with clients by putting their interests first at all times.
Aude Doyen
Managing Director & Co-head of Capital Advisory, Europe
LondonMeet Professionals with Complementary Expertise in Capital Advisory
By linking my experience in debt advisory and mergers and acquisitions, I look forward to delivering flexible and innovative financing solutions to make an impact that matters with long-term target clients, as Lincoln does best.
Daniele Candiani
Managing Director & Co-head of Capital Advisory, Europe
Milan
I build trust with clients by putting their interests first at all times.
Aude Doyen
Managing Director & Co-head of Capital Advisory, Europe
London
I take an active role in every stage of the transaction process in order to achieve the goals of my clients.
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