Ted Denniston, Co-Head of NXT Capital, recently spoke with Pitchbook on market and deal trends within the lower middle market.
Read the full article here.
Highlights from Ted:
- “In our view, the LMM has always been more stable than the core and upper middle markets from a deal activity perspective,” said Ted Denniston, co-head and senior managing director of NXT Capital, attributing the LMM’s appeal to conservative deal structures.
- Denniston added that the strategies around many borrowers in the lower middle market often involve add-on acquisitions. This activity can blunt the decline in new-issue M&A and buyouts.