Preferred equity has long loomed on the periphery of the PE industry as the potential “next big thing” for sponsors and institutional investors as an alternative form of liquidity representing a hybrid between traditional equity and private credit. Over time it has made steady inroads as a viable solution for both fund- and sponsor-level liquidity, as well as to facilitate certain types of secondary transactions. Its adoption skyrocketed recently, however, as many sponsors found issuing fund-level preferred equity to be a uniquely ideal way to rapidly inject liquidity into struggling portfolio companies.
In addition to charting the growth and adoption of preferred equity, the program will provide a comprehensive exploration and update of various developments in the area, including:
Topic: Proskauer’s Michael Suppappola will be joining Private Equity Law Report’s Rorie A. Norton and Peter H. Gilman from Simpson Thacher on a panel discussion on preferred equity.