Publications

November 2012 (Revised January 2014)
Case

HCA, Inc. LBO Exit

By: Victoria Ivashina

This case discusses the events following the 2006 $33.2 billion buyout of Hospital Corporation of America (HCA) by a consortium of private equity firms, including Bain Capital, KKR, and Merrill Lynch's private equity arm. The case highlights some of the core features... View Details

Keywords: Entrepreneurship; Finance; Stockholders; Dividends; Private Equity; Initial Public Offering

2016
Working Paper

Pay Now or Pay Later? The Economics within the Private Equity Partnership

By: Victoria Ivashina and Josh Lerner

The economics of partnerships have been of enduring interest to economists, but many issues regarding intergenerational conflicts and their impact on the continuity of these organizations remain unclear. We examine 717 private equity partnerships and show that (a) the... View Details

Keywords: Partnerships; Leveraged Buyout; Venture Capital; Private Equity; Partners and Partnerships; Leveraged Buyouts

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Web

Accounting & Management - Doctoral

Post-Doctoral Fellow Advisors: Charles C.Y. Wang (Chair), Victoria Ivashina , and Suraj Srinivasan Patrick Ferguson, 2021 University of Melbourne, Melbourne Business School... View Details

Article

Reaching for Yield in the Bond Market

By: Bo Becker and Victoria Ivashina

Reaching for yield—the propensity to buy riskier assets in order to achieve higher yields—is believed to be an important factor contributing to the credit cycle. This paper analyzes this phenomenon in the corporate bond market. Specifically, we show evidence for... View Details

Keywords: Fixed Income; Reaching For Yield; Financial Intermediation; Insurance Companies; Insurance; Assets; Bonds; Investment Return; Investment Portfolio; Risk Management; Insurance Industry

October 2020 (Revised July 2023)
Case

UCK Partners: Gong Cha

By: Victoria Ivashina and Sangyun Lee

In the Spring of 2017, Soomin Kim, Founding Partner of UCK Partners, and his team were debating the potential exit of UCK Partner’s investment in Gong Cha Korea, the sole local franchisor of the premium milk tea brand that they proprietarily sourced three years ago.... View Details

Keywords: Exit; Strategic Decision Making; Private Equity; Investment; Strategy; Investment Return; Decision Making; Bids and Bidding

May 2009
Article

Asymmetric Information Effects on Loan Spreads

By: Victoria Ivashina

The paper estimates the cost arising from information asymmetry between the lead bank and members of the lending syndicate. In a lending syndicate, the lead bank retains only a fraction of the loan but acts as the intermediary between the borrower and the syndicate... View Details

Keywords: Cost; Banks and Banking; Financing and Loans; Interest Rates; Capital; Investment Portfolio; Credit; Diversification; Risk and Uncertainty

Web

Research - Behavioral Finance & Financial Stability

Falk Bräuning & Victoria Ivashina JULY 2020 When central banks adjust interest rates and equity capital is... View Details

October 2020 (Revised December 2020)
Case

AfricInvest: A Pan-African Investment Platform

By: Victoria Ivashina and Youssef Abdel Aal

The case is set in December 2018, when Ziad Oueslati, co-managing director and co-founder of AfricInvest, a leading pan-African private equity firm headquartered in Tunisia, was reflecting on the future direction of his firm. AfricInvest started as a traditional small... View Details

Keywords: Finance; Private Equity; Venture Capital; Strategy; Governance; Financial Services Industry; Tunisia; Africa; Middle East

Web

Private Capital Project

participants are exposed to cutting-edge ideas that will shape their career paths in the Venture Capital and Private Equity Industries Research Pay Now or Pay Later? The Economics within the Private Equity Partnership By: View Details

Web

Placement - Doctoral

Harvard Business School, Post-Doctoral Fellow Dissertation: Essays on the Use of Information in Financial Intermediaries Advisors: Charles C.Y. Wang (Chair), Victoria Ivashina , View Details

February 2018
Article

Financial Repression in the European Sovereign Debt Crisis

By: Bo Becker and Victoria Ivashina

By the end of 2013, the share of government debt held by the domestic banking sectors of Eurozone countries was more than twice its 2007 level. We show that this type of increasing reliance on the domestic banking sector for absorbing government bonds generates a... View Details

Keywords: Credit Cycles; Sovereign Debt; Financial Repression; Sovereign Finance; Borrowing and Debt; Credit; Europe

March 2014
Article

Cyclicality of Credit Supply: Firm Level Evidence

By: Bo Becker and Victoria Ivashina

Theory predicts that there is a close link between bank credit supply and the evolution of the business cycle. Yet fluctuations in bank-loan supply have been hard to quantify in the time series. While loan issuance falls in recessions, it is not clear if this is due to... View Details

Keywords: Business Cycles; Borrowing and Debt; Credit; Banks and Banking; Bonds; Financial Markets; Financing and Loans; Banking Industry

September 2010
Article

Bank Lending During the Financial Crisis of 2008

By: Victoria Ivashina and David S. Scharfstein

This paper documents that new loans to large borrowers fell by 47% during the peak period of the financial crisis (fourth quarter of 2008) relative to the prior quarter and by 79% relative to the peak of the credit boom (second quarter of 2007). New lending for real... View Details

Keywords: Financial Liquidity; Financing and Loans; Credit; Borrowing and Debt; Financial Crisis; Banking Industry

2014
Working Paper

Financial Repression in the European Sovereign Debt Crisis

By: Bo Becker and Victoria Ivashina

By the end of 2013, the share of government debt held by the domestic banking sectors of Eurozone countries was more than twice its 2007 level. We show that this type of increasing reliance on the domestic banking sector for absorbing government bonds generates a... View Details

Keywords: Credit Cycles; Sovereign Debt; Financial Repression; Sovereign Finance; Greece

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October 2012
Article

Securitization without Adverse Selection: The Case of CLOs

By: Effi Benmelech, Jennifer Dlugosz and Victoria Ivashina

In this paper, we investigate whether securitization was associated with risky lending in the corporate loan market by examining the performance of individual loans held by CLOs. We employ two different datasets that identify loan holdings for a large set of CLOs and... View Details

Keywords: Personal Finance; Performance; Markets; Banks and Banking; Debt Securities; Investment Portfolio; Financing and Loans

September 2018
Case

Granite Equity Partners

By: Victoria Ivashina and Jeffrey Boyar

This case follows Rick Bauerly, CEO of Minnesota-based Granite Equity Partners, a private equity firm that specialized in buying out retiring business owners in the Minnesota community. In 2007, Granite Equity was considering an investment in Tyrell Corp. (name... View Details

Keywords: Private Equity Exit; Investing; Fund Exit; Fund Management; Wealth Management; Liquidity; Buyout; Exit Strategy; Preferred Shares; Convertible Notes; Finance; Private Equity; Investment; Asset Management; Wealth; Management; Financial Liquidity

Web

Events - Private Capital Project

Cycles September 9, 2024, “Private Capital through Political Cycles” with John Coates (John F. Cogan, Jr. Professor of Law and Economics, Harvard Law School) and Jonathan Lavine (Chair, Bain Capital),... View Details

2011
Working Paper

Cyclicality of Credit Supply: Firm Level Evidence

By: Bo Becker and Victoria Ivashina

Theory predicts that there is a close link between bank credit supply and the evolution of the business cycle. Yet fluctuations in bank-loan supply have been hard to quantify in the time-series. While loan issuance falls in recessions, it is not clear if this is due to... View Details

Keywords: Business Cycles; Borrowing and Debt; Credit; Banks and Banking; Bonds; Financial Markets; Financing and Loans; Banking Industry