Its main features are:

• A combination of debt and equity;
• Subordination to senior debt;
• No security for repayment;
• Flexible legal forms tailored to the diverse needs of financed entities.

Instruments used for mezzanine financing include, without limitation:

• Bonds
• Preferred shares
• Convertible loans.

These instruments are usually only secured by a pledge on shares. An important feature of mezzanine financing is that the repayment of the principal (often one-off) is deferred.

Our role in obtaining mezzanine financing:

• Selection of the appropriate form of financing – we support clients in the structuring of financing transactions;
• Documentation – we prepare and negotiate financing documentation;
• Opinions – we issue legal opinions on the validity and effectiveness of financial and security documents;
• Due Diligence – we perform a due diligence investigation of the financed entity;
• Post-transactional support – we provide post-transactional support, i.a. in the security registration process.