Prediction Held up AI assessment confidence: 95% certainty 3/5 debate potential 2/5

Toomey: Venture Debt Market Faces a Retrenchment

John Toomey · Mario Giannini & John Toomey – Private Equity Panel (Capital Allocators EP.309) · Apr 17, 2023 · at 12:52

John Toomey evaluates how debt availability is shifting for early-stage companies post-SVB.

0:00 / 0:05exact quote · 5.3s
720p mp4 · rendered on demand · StarZero watermark
“I think the venture debt business, the same thing, you'll have a bit of a retrenchment there.”

quote is from the automated transcript, cleaned for reading: filler sounds and stutters are removed, nothing is rephrased. names can be misheard (the analysis reads context, assessments check outside sources). how →

More from John Toomey

Prediction Not checkable as stated
Toomey: Private Equity Could Expand Two to Three Times and Stay Healthy
“I think this industry could be two, three times the size than it is today, and still be healthy and functioning and lots of flows of capital.”
John Toomey Apr 17, 2023 ▶ 1:10:11 Mario Giannini & John Toomey – Private Equity Panel (Capital Allocators EP.309)
Insight
Toomey: Private Capital Markets Are Undergoing a Historic Structural Transformation
“We are witnessing the creation of a private capital markets, kind of not dissimilar to what we saw a 150 years ago underneath the old oak tree or whatever tree it was down at the corner of wall and broad.”
John Toomey Apr 17, 2023 ▶ 1:11:57 Mario Giannini & John Toomey – Private Equity Panel (Capital Allocators EP.309)
Assertion Supported
Toomey: Broad Buyout Valuations Declined Only 5% in 2022
“And frankly, we didn't see that underlying in company performance continue to be strong even in the second half of the year. And we saw, I'd say, low single digit declines even at year end. For the broad buyout market, probably plus or minus five percent.”
John Toomey Apr 17, 2023 ▶ 9:19 Mario Giannini & John Toomey – Private Equity Panel (Capital Allocators EP.309)
Assertion Supported
Toomey: Crossover and Mutual Fund Tech Managers Saw 25% Valuation Drops
“And I think certain managers, particularly the crossover investors, the mutual fund investors that publish their company valuations every quarter now, they really invested into that and took those valuations up to full value. That's where we saw the greatest d…”
John Toomey Apr 17, 2023 ▶ 9:49 Mario Giannini & John Toomey – Private Equity Panel (Capital Allocators EP.309)
Prediction Not checkable as stated
Toomey: Longer PE Holding Periods Will Delay Realizations
“I think you'll see an elongation of the holding period. So when you look back and you saw what happened, again, it's not the same as the global financial crisis, but there's some lessons learned there. I think when managers are sitting on investments that are …”
John Toomey Apr 17, 2023 ▶ 15:27 Mario Giannini & John Toomey – Private Equity Panel (Capital Allocators EP.309)
Assertion Supported
Toomey: PE Managers Are Fully Equitizing Deals to Refinance Later
“We've seen managers essentially fully equitize their companies today. With the view that they're just going to refinance out in a better market instead of taking it as much or at the same level of debt that they've used.”
John Toomey Apr 17, 2023 ▶ 30:16 Mario Giannini & John Toomey – Private Equity Panel (Capital Allocators EP.309)
Made with StarZero

Turn any episode into a week of clips.

This entire site, over 700 episodes transcribed, diarized, checked and made playable, runs on the StarZero media pipeline. Drop in your own episode and the podcast clipper finds the moments worth sharing, cuts them, captions them, and reframes them for every feed.