Structuring Unitranche Transactions: A Prudent Approach To Drafting Agreements

Philip Rosenblatt, co-chair of the firm's Commercial Finance practice group, and John Loughnane, a partner in the Commercial Finance practice group, published "Structuring Unitranche Transactions: A Prudent Approach to Drafting Agreements" in the January/February 2015 issue of ABF Journal. The article discusses the uncertainty lenders may face when involved in a unitranche transaction, which combines elements of senior and junior financings into a single loan agreement. Phil and John note that the unitranche model has not been thoroughly tested in court, and caution that when times get tough, lender parties will need the benefit of a well-crafted agreement which helps reach a solution instead of inadvertently exasperating a troubled situation.