Alert December 02, 2008

Goodwin Procter Issues Client Alert Concerning Purchases and Sales of Distressed Debt in an Illiquid Credit Market

Goodwin Procter’s Financial Restructuring, Leveraged Finance and Private Equity Practice Areas jointly issued a Client Alert entitled Portfolio Company Debt: A New Investment Focus, that discusses issues concerning purchases of distressed debt by private equity firms in the current, illiquid credit market.  The debt covered includes debt of non-affiliates under a “loan to own” strategy, and purchases of portfolio company debt under a “buy your own” strategy.