Allen & Overy’s global fund finance practice has extensive experience in advising banks, agents, alternative lenders and investment fund managers on a broad range of upstream and downstream facilities.
Our lawyers bring in-depth technical and commercial knowledge to a wide range of lending structures across the fund finance spectrum. Working alongside specialist lawyers in our real asset (including private equity, real estate, transportation and infrastructure), tax and regulatory teams, we offer an exceptional breadth of experience and as a result our clients benefit from our clear understanding of the current legal and commercial issues relevant to all parties in fund finance transactions.
A particular strength is our ability to offer specialists across our global fund finance practice and in the key areas of finance, fund establishment, tax and regulatory. These specialists frequently work together on financing transactions involving different types of assets across multiple jurisdictions. We regularly work on facilities with European (including UK and Luxembourg) and offshore (including Channel Islands and Cayman Islands) entities. We have a deep understanding of the issues relevant both for financiers and also for funds and their investors.
We advise clients on
Asset backed facilities (NAV based)
Capital call and subscription credit facilities
Fund due diligence for lenders
A facility which looks down at the underlying assets (as for an asset backed facility) as well as requiring there to be headroom in the undrawn commitments of investors.
These can be:
- ‘true’ hybrid facilities, including full security and credit analysis on the investors, the funds assets and underlying cashflows; or
- a variant on a capital call facility with an additional net asset value covenant inserted which will take effect once the ratio of undrawn investor commitments to financial indebtedness reaches a particular level.
News & insights
News: 01 MAY 2020
Allen & Overy has advised Flight Centre Travel Group Limited (Flight Centre), Australia’s largest travel agent, in respect of an additional AUD200 million of bilateral facilities, with the loan…Read more
Publications: 31 MARCH 2020
The Covid-19 pandemic and resulting government lockdowns have brought intense volatility both to financial markets and the real economy, and a sharp return of challenges that confronted asset managers…Read more
Publications: 06 FEBRUARY 2020
On January 30, 2020, the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, the Office of the Comptroller of the Currency, the Securities and Exchange…Read more
Publications: 02 DECEMBER 2019
Taking into account the results of the Luxembourg national risk assessment which classifies the fund industry as high ML/FT risk, the CSSF clarifies that Luxembourg regulated funds, like Luxembourg…Read more