Press Releases


LMA produces revised form of Intercreditor Agreement following discussions with Mezzanine lenders

25 November 2009

The LMA has produced a revised edition of its Intercreditor Agreement and accompanying User Guide, which take into consideration a number of issues raised during discussions with a group of mezzanine investors. A number of alternative options have been provided for, either in the form of optional drafting in the Agreement, or notes in the Agreement or User Guide, reflecting areas which are likely to be the subject of negotiation between the relevant creditor groups on a case by case basis.

Discussions with a representative group of mezzanine investors took place over the summer and early autumn, and were the result of the LMA wishing to actively engage with this particular creditor group in a constructive and collaborative way.

Lemy Gresh at Mezzvest, who was involved in the process, said: "We have found the LMA very interested to promote sound market practice for all constituents of the market. I believe that this new document is better balanced. In addition it will simplify the documentation process going forward."

Clare Dawson, LMA Managing Director, said: "The discussions with the mezzanine investors have been an interesting and constructive development, and we look forward to the continuing involvement of this group of investors in the LMA in future."