This post was written by Abbey Mansfield.
A few months ago we blogged about capital call facilities, including basics, challenges and opportunities from a U.S. law perspective. As noted in that post, capital call (aka “subscription” or “equity bridge”) facilities have garnered attention recently due to their strong performance in the wake of the financial crisis.
Today, we are happy to offer the European perspective on these facilities, provided by our London colleague Leon Stephenson. In an article (which you can download here) which first appeared in the January edition of Butterworths Journal of International Banking & Financial Law, Leon highlights five key differences between capital call facilities and typical bilateral corporate facilities (based on the Loan Market Association (LMA) documentation). Thanks for the great information, Leon!