At the latest LSE AIC (nice event as always), Jon Moulton, head of Alchemy Partners and one of the most entertaining guys in the business to listen to, predicted that a third of companies owned by UK mid-market private equity groups could default on their debts over the next couple of years. This is not really news as many have already said the same thing. What could be interesting is to see if his dire prediction actually is lower than the what the end number in the UK actually turns out to be.
Along these lines, Cognetas is in talks with lenders about restructuring the debts at four of its portfolio companies, this coming after it lost control of two investments last year. The FT’s reporting the four companies are SGD, a French glassmaker; Covenant Healthcare, a UK plastic surgery group; Novus, a UK pub operator; and CPI, a French printer.