Thread by @LibertyBlitz

"Private equity firms have also taken advantage of benign credit conditions to cut risk and realize gains sooner. They’ve saddled the companies they invest in with more debt to pay themselves dividends."

This is my must read of the day. It's all so dirty.
bloomberg.com/news/articles/…

"Issuance of leveraged loans for distributions to equity holders reached the highest in six months in April, according to data compiled by Bloomberg."

"Sycamore Partners, a private equity firm know for aggressive bets in the retail sector, pulled a staggering $1 billion out of Staples Inc. last month through a recapitalization that increased the company’s interest expense by $130 million annually."

cc: @matthewstoller

@matthewstoller "A few weeks later, Hellman & Friedman and Carlyle sold one of the riskiest types of junk bonds from drug research company Pharmaceutical Product Development LLC to help pay for a $1.1 billion dividend."

@matthewstoller The amount of financial engineering thievery going on right now is of epic proportions.

@matthewstoller The average person has no idea the amount of looting going on right now.

@matthewstoller "The government shutdown that ended in late January created a backlog of filings for regulators. Banks turned to unusual tactics to keep the deal spigot flowing. Without a regulator around to review filings, these IPOs skipped the ordinary process of price discovery..."

@matthewstoller Wall Street is scrambling to do every shady thing imaginable before the whole thing goes Kaboom.

“People see it like this: it’s been great until now, but the window is going to shut, the door is going to close..."