Financing Advisor Gladiator: “The leverage cap is a real problem for the banks” Finance TV Search The ECB wants to regulate the financing of private equity deals with a debt-equity ratio of more than 6x Ebitda in future. The financing expert Thorsten Gladiator of the consulting firm Capitalmind Investec warns that the extent of this step is underestimated:
“The definition of the ECB, what everything falls under debt, is very far. The ECB also includes open credit lines and shareholder loans. This is very problematic for the banks, “
says Commerzbank’s long-standing leveraged finance chief. He tells FINANCE-TV why this is affecting the banks and how they are expected to react.