EY Luxembourg Private Debt

Since the Global Financial Crisis, alternative lenders have proved to be a key additional source of funding for start-ups, SMEs and midmarket companies which account for broadly 99% of EU businesses – when traditional bank lending is not always in a position to deliver. This diversification of the financing source is a priority of the EU’s agenda as outlined in its Capital Market Union plan.

In the wake of the COVID-19 pandemic and its far-reaching impact on EU businesses, alternative lenders will have an even more important financing role. This is once again fully supported by the EU (for instance, via the recent increased flexibility of the EU securitization framework).

With a proven track-record for fund structuring and distribution, Luxembourg is the number one EU jurisdiction for asset managers launching a debt fund.

EY Luxembourg, supported by the EY network, has extensive experience and dedicated specialists (audit, tax, valuation, regulatory advisory, etc) working at different stages of the debt fund (design, launch, running, exit) taking into account the different types of strategy, the preference of both the managers and LPs as well as requirements applicable in borrowing jurisdictions.