Unlocking value in the lower mid-market
Expert Q&A with Daniel Leger on how ‘getting to yes’ creates opportunities for flexible lower middle market lenders
In this Expert Q&A with Private Debt Investor, Metropolitan's Senior Managing Director and Head of Investor Relations and Marketing, Daniel Leger, explains that the best way for managers to distinguish themselves in the US lower middle market is to invest time and resources in sourcing opportunities that demonstrate a strong use case for the cost of capital and then finding a way to ‘get to yes.’
“Given the complexity of some of our deals, a commitment of ‘getting to yes’ represents our efforts to help great owner-operators solve problems,” said Leger. “The real-world problems that our portfolio companies experience have less to do with optimizing the cost of capital and more to do with their need for flexibility and speed, as well as the certainty of closing the deal and securing a long-term partner.”
The conversation covers the current private credit and direct lending environment, key trends in the US lower middle market, and the three premiums that Metropolitan is paid by the market for its capital: an access premium, a work premium, and a complexity premium.
The full Expert Q&A is available for download by clicking the Download PDF button above.