Preissuance deal support for an institutional investment bank

  • Pre-issuance

    modeling & structuring support

  • 20%

    more client-facing time for senior bankers

  • 15-20%

    reduction in time to close deals

  • $300K+

    savings through our support

  • The client was engaged as an underwriter for several new asset types for the first time in APAC
  • Acuity Knowledge Partners was approached to develop models/ tools for such transactions that could project cash flows under different sets of credit assumptions
  • The first transaction Acuity Knowledge Partners worked on was a CLO deal
  • The initial capital structure, collateral,and rating agency criteria were provided to develop a flexible model/tool to handle both asset and replinelevel credit modeling
  • Acuity Knowledge Partners assigned an expert Excel VBA modeler to the project, who worked under the guidance of structured finance subject matter experts
  • In the preliminary stage, a typical CLO waterfall and capital structure were modeled, supported by a dummy asset pool
  • Functionalities were added next to dynamically change the assets, payment waterfall, capital structure,and credit assumptions
  • Finally, transaction actuals (different proposals) were incorporated and rating agency stresses were run to optimize the final capital structure and terms
  • As the client was working on multiple transactions, it benefited from Acuity Knowledge Partners expertise in deal modeling/structuring
  • The model/tool provided flexibility to dynamically change transaction terms, credit assumptions, asset characteristics, liability structure, etc., which helped in finalizing the capital structure
  • With Acuity Knowledge Partners performing the required modeling tasks and analytics, the client could focus more on increasing the deal flow, market developments, and other clientfacing activities
  • This partnership proved to be a scalable model for the client, compared with hiring and training employees when deal volumes increase
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What we have done

Structured Finance research and analytics for a global Investment Bank
What we are proud of


savings in staffing costs


increase in outreach