
Financial sponsors
Definition
What are financial sponsors?
Financial sponsors are investors in the private equity sector. Structured similarly to fund management companies, they raise capital from institutional investors (pension funds, insurers, mutuals, sovereign wealth funds, etc.) and then invest in the capital of companies, often as part of a leveraged buyout (LBO).
Beyond providing capital, financial sponsors frequently support the management of the companies in which they invest. They typically contribute to financial structuring, digital transformation, international expansion and external growth.
How does the bank support Financial Sponsors?
The bank has a dedicated commercial setup for this client segment: Financial Sponsors Coverage includes advisory bankers and account managers from various departments and coordinates the activities of the business lines serving financial sponsors:
- Leveraged Finance (for LBO financing);
- Equity Capital Markets (for IPOs of companies owned by investment funds);
- Mergers & Acquisitions (for advising on the purchase or sale of equity interests in companies).