How shadow bankers are already emerging as winners in the SVB collapse
But something had already become clear to Ramanathan, who co-leads the firm's special situation and private credit practice and previously worked as deputy general counsel at private investment firm Bain Capital. He was witnessing a new willingness from borrowers to turn first to private credit,"Borrowers used to look at these banks and say, 'Look, the banks, they've been around forever. They're stable. I can always count on the banks being there for me.
Zack Ellison, the founder of Applied Real Intelligence, an investment firm that specializes in venture debt, said he's been hustling to take advantage of the vast opportunity now available for alternative tech lenders. The major private credit players HPS Investment Partners, Oaktree Capital Management, Ares Management, and KKR were among the private lenders discussing deals that would provide financing to clients with cash stuck at SVB,"We started seeing a huge increase in borrower inquiries from Friday on," said Nelson Chu, the founder and chief executive of Percent, a tech firm that operates a private credit marketplace and is backed by investors including venture firms Revel Partners and...
Phill Nelson, the head of asset allocation for the influential investment consultant NEPC, said a shift in regulatory frameworks for both banks and non-bank lenders such as asset managers was unlikely ahead of the 2024 US presidential election, even as greater scrutiny of the financial system would likely come following the SVB collapse.
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