The new KPMG Debt Market Snapshot is here. With the aim of keeping you up to date on the latest developments on the European financing markets, using current market data, our Debt Advisory experts discuss the market drivers and provide first-hand insights from daily practise. Despite ongoing economic restrictions, the first quarter of 2021 evidenced extraordinarily high activity. Read more in our latest edition of Debt Market Snapshot.

The global spread of the corona virus dramatically changed our lives in many ways. This year ongoing efforts to combat the pandemic again include contact restrictions and economic shutdowns. This adversely impacts many companies which are trying to mitigate cash burn. Increased uncertainty and risk inevitably make their presence felt on financing structures. 

Highlights

The new issue of KPMG Debt Market Snapshot discusses how the various European financing markets were impacted, also by factors alongside Covid-19 and presents the trends of the first quarter of 2021.

Even if most European countries have started large-scale vaccination campaigns, strict restrictions in the economy and in the private sphere are still widespread. This notwithstanding, market activities were high in the first quarter of 2021, driven by high liquidity on credit markets and the large number of pan-European stabilisation measures. In terms of new issue volume, the European high yield bond market had its most successful quarter in Q1 2021 and there were also extraordinarily high levels of activities on leveraged and sponsored markets. A large share of the financing measures related to M&A transactions and refinancing. Furthermore, increasingly ESG-specific financing structures are becoming established on all relevant credit markets. These are also examined in the newsletter.