Goldman's Minnis: The World of Big Leveraged Buyouts Is Back

The video discusses the robust market conditions and the resurgence of large LBOs, with a focus on club deals and equity partnerships. It highlights the return of significant M&A activity, including jumbo deals, and the competitive landscape among banks like Goldman Sachs and JP Morgan. The role of direct lenders and the impact of market dynamics are explored, along with insights from a recent conference and the future outlook for European and global markets.

What is the sentiment around the return of large LBOs in 2021?

• Neutral with no significant changes expected

• Pessimistic due to market instability

• Optimistic with robust market conditions

• Uncertain due to lack of capital

What is a club deal in the context of the market?

• A deal involving a single sponsor

• A small-scale transaction with minimal equity

• A government-backed financial agreement

• A partnership between multiple sponsors for large transactions

How does Goldman Sachs compete with larger banks like JP Morgan in acquisition financing?

• By offering lower interest rates

• By having a larger balance sheet

• By building a significant global acquisition finance franchise

• By focusing only on small deals

What is the current regulatory environment's impact on lending?

• It has become more restrictive

• It remains as robust as in 2020

• It has significantly loosened

• It has led to a decrease in lending

What role do direct lenders and shadow banks play in the current market?

• They are a declining force

• They are an important and growing force

• They are pulling back from the market

• They are irrelevant in today's market

What is the trend in company behavior post-pandemic according to the conference participation?

• Companies are reducing their market activities

• Companies are raising capital for growth

• Companies are focused solely on liquidity

• Companies are hesitant to raise capital

What is the current state of the European leverage finance markets?

• Weak and declining

• Stable but not growing

• Strong and as robust as in years

• Unpredictable and volatile