Ares Management Corp. and Leonard Green & Partners-owned Press Ganey is in talks for an investment of about $1 billion of preferred equity to take out more-expensive junior debt, according to people familiar with the matter, continuing a trend of risky borrowers forgoing lower-ranked loans to save money.
The company hired Barclays Plc to tap hybrid capital providers, private lenders focused on riskier borrowing that sits between debt and equity in a capital structure, for funds to replace a second lien loan and other junior debt, said the people, who asked not to be identified discussing a private transaction. ...
