Distressed Debt & Special Situations

Crossing Credit Products with Specialty Equity Products

The distressed debt & special situations group delivers differentiated investment ideas across the full spectrum of credit and complex equity situations. Our unique approach to helping clients find value and maximized returns paired with Piper Sandler's new issue, structured finance, munis and leading financial services platform provides clients with a breadth of product diversity unmatched in the distressed space.

Areas of Focus

Special Situations

Bankruptcy, Litigation & Tax Claims
Reorg Equity, Spinoffs - SPACS - CVRs
Insurance Subrogation
Private Credit / BDC Loans
Warrants & Rights
Specialty: Sourcing, Liquidity & Idea Generation across Special Situations

Crossover Fixed Income

IG Fallen Angels
Busted Converts
Emerging Markets
Muni Downgrades

Leveraged Loans

Extensive platform, trading leveraged loans across all sectors
Specialties: Sourcing illiquid B, CCC, and defaulted loans, including reinstated debt and reorganized equity

High Yield Bonds

Deep breadth of knowledge across all sectors and geographies
Research driven idea generation with an edge in orphan names
New issue with a focus in the financials/aviation industries

Special Situations & Private Debt Expertise

CLAIMS

Busted Converts

REORG EQUITIES

STUBS

Leveraged Loans & High Yield Bonds

The distressed debt & special situations group combines expertise across sectors and geographies with differentiated sourcing capabilities and an extensive trading platform. This integrated platform enables the team to source and trade stressed/distressed loans and bonds across complex capital structures. The team focuses on illiquid B, CCC, and defaulted credits, while leveraging research-driven idea generation to identify opportunities in orphan names, new issues, and sector-specific dislocations.

The focus names below reflect areas where the desk has active market connectivity, actionable sourcing capabilities, and differentiated insight:

Artera Services (POWBUY)
Athletico (ACCHEA)
Brightline East (BRIEAS)
Cabinetworks (ACPROD)
Cornerstone Building Brands (CNR)
Eyecare Partners (EYEPAR)
First Brands (TRICGR)
Fortna Group (MATHAN)
Genworth Financial (GNW)
Goeasy (GSYCN)
Gulfeagle Supply (GULSUP)
Houghton Mifflin (HMHC)
ION Platform (IONPLA)
Kik Consumer Products (KIKCN)
Liberty Latin America / Liberty Puerto Rico (LILA/LILAPR)
Mercer International (MERC)
MoneyGram International (MGI)
Multicolor (LABL)
NAPA Management Services (NAPAMA)
New Fortress Energy (NFE)
Oldcastle BuildingEnvelope (OBEBLD)
Phoenix Aviation (PHOAVI)
Physician Partners (PHYPNR)
Pretium Packaging (PRETPK)
Puerto Rico Electric Power Authority (PREPA)
Vericast (VERCST)

Process to ensure smooth transaction

Piper Sandler and the seller execute an NDA, begin discussions regarding the marketing and sale of the credit, and initiate preliminary due diligence to identify potential hurdles or challenges to the process.

Work developed for distribution

Piper Sandler develops a comprehensive understanding of the credit, including its key strengths, risks, comparable transactions, pricing considerations, and other factors relevant to creating a market. We then conduct an in-depth analysis and develop marketing materials including term sheets, one-pagers, yield tables, and executive summaries for the seller’s review and approval before targeted distribution.

Process in place to explore prospective buyers

Piper Sandler identifies and prioritizes the most appropriate prospective buyers, distributes the seller-approved marketing materials, and coordinates across the distressed debt and fixed income sales teams to engage targeted accounts through meetings, calls, Bloomberg IB, and other channels. Throughout the marketing process, we provide ongoing market feedback and buyer perspectives.

Process to ensure smooth transaction

Piper Sandler and the seller execute an NDA, begin discussions regarding the marketing and sale of the credit, and initiate preliminary due diligence to identify potential hurdles or challenges to the process.

Work developed for distribution

Piper Sandler develops a comprehensive understanding of the credit, including its key strengths, risks, comparable transactions, pricing considerations, and other factors relevant to creating a market. We then conduct an in-depth analysis and develop marketing materials including term sheets, one-pagers, yield tables, and executive summaries for the seller’s review and approval before targeted distribution.

Process in place to explore prospective buyers

Piper Sandler identifies and prioritizes the most appropriate prospective buyers, distributes the seller-approved marketing materials, and coordinates across the distressed debt and fixed income sales teams to engage targeted accounts through meetings, calls, Bloomberg IB, and other channels. Throughout the marketing process, we provide ongoing market feedback and buyer perspectives.

Process to ensure smooth transaction

Following the marketing and bid-development process, Piper Sandler confirms the successful bidder, facilitates agreement on the transaction’s pricing and key terms, and supports the buyer and seller through settlement and closing.