Bridge Equity is Equity contributed by financing banks in order to help a LBO fund to close a deal. This Equity is normaly sold on to other Investors by the lending banks after the LBO deal is completed. It allows LBO funds to close the deal without having to wait for other Equity partners to join it. On this kind of deals financing banks take an underwritting Risk on the Equity.
Bridge equity(See Chapter 45 of the Vernimmen)
Bridge Equity is Equity contributed by financing banks in order to help a LBO fund to close a deal. This Equity is normaly sold on to other Investors by the lending banks after the LBO deal is completed. It allows LBO funds to close the deal without having to wait for other Equity partners to join it. On this kind of deals financing banks take an underwritting Risk on the Equity.
Bridge Equity is Equity contributed by financing banks in order to help a LBO fund to close a deal. This Equity is normaly sold on to other Investors by the lending banks after the LBO deal is completed. It allows LBO funds to close the deal without having to wait for other Equity partners to join it. On this kind of deals financing banks take an underwritting Risk on the Equity.