Current Trends in the Mezzanine Market {
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"post_summary": "<p>As private equity transactions increase, the need for junior capital (second lien loans and mezzanine debt) has risen exponentially. According to Standard & Poor’s, the average middle market deal for the second quarter of 2006 ($50 MM in EBTIDA or less) was funded using 40% equity, 40% senior debt and 20% junior capital. The recent historically low interest rates made second lien financing attractive in larger deals with greater collateral. Therefore, the need for traditional mezzanine financing was reduced and was primarily used to bridge the gap between the second lien and the equity.</p> \n",
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