At a glance
- Mercer Advisors refinanced $1.9 billion of private debt, and Beacon Pointe closed a $1.2 billion raise, Private Wealth Daily reported.
- For an advisory team weighing a sale, a buyer carrying 6.7x debt/EBITDA has less room to top an unlevered bid, so the winning offer likely includes stock, an earnout or a seller note.
- 6.7x means $6.70 of debt for every $1 of EBITDA.
Mariner Wealth Advisors is seeking $150 million more on its first-lien term loan B, lifting the tranche to $1.3 billion from $1.16 billion. Moody's projects leverage of 6.7x debt/EBITDA, and S&P and Moody's said the ratings are unaffected.
Mercer Advisors refinanced $1.9 billion of private debt, and Beacon Pointe closed a $1.2 billion raise, Private Wealth Daily reported. Deal lawyer Corey Kupfer links the capital to a push toward an RIA listing.
For an advisory team weighing a sale, a buyer carrying 6.7x debt/EBITDA has less room to top an unlevered bid, so the winning offer likely includes stock, an earnout or a seller note. That paper ranks behind $1.3 billion of first-lien debt.
| Firm | Transaction | Size | Detail |
|---|---|---|---|
| Mariner Wealth Advisors | Term loan B add-on | $150 million | Lifts first-lien term loan B to $1.3 billion from $1.16 billion; Moody's projects 6.7x debt/EBITDA |
| Mercer Advisors | Refinancing of private debt | $1.9 billion | Terms not stated |
| Beacon Pointe | Capital raise | $1.2 billion | Terms not stated |
6.7x means $6.70 of debt for every $1 of EBITDA. Mariner's $150 million adds about 13% to a $1.16 billion tranche, and because the tranche is fungible the new money prices alongside the existing loan rather than as a separate facility.
Corey Kupfer predicts an RIA IPO within two years but did not name which firm. The refinancings are signed obligations with a spread and a covenant package, and they price the next several years of buying whether or not a listing follows.
A seller choosing between buyers is choosing between balance sheets. A buyer that has just repriced a term loan B has committed capacity to close; a buyer that needs a fresh equity round has a longer path to the same signature.
Reported by PWD Editors from Private Wealth Daily reporting on Mariner Wealth Advisors term loan add-on, Private Wealth Daily reporting on Corey Kupfer's RIA IPO forecast, Private Wealth Daily reporting on Steward CEO Jim Gold, Private Wealth Daily reporting on Modern Wealth / 4thGEN and Private Wealth Daily reporting on Lido cross-border deals. Published . Corrections