This article surveys developments in the international syndicated loan market during the 1980s. Although the market experienced high volumes of business at the beginning of the decade, there was a significant decline after the onset of the LDC debt crisis in 1982, which continued during the mid-1980s. From the end of 1986, activity revived and business has continued to strengthen. The article considers the advantages that syndicated loans possess over various capital market instruments, exploring two particular sources of demand for new credit facilities-merger and acquisition related activity and the arrangement of multiple-option facilities (MOFs).
Developments in the international syndicated loan market in the 1980s