Alex Bernstein's questions to Houlihan Lokey Inc (HLI) leadership • Q2 2025
Question
Alex Bernstein, on behalf of Kenneth Worthington, asked how the changing interest rate environment impacts the types of opportunities in the Financial Restructuring pipeline. He also inquired if the elevated level of broad-market refinancing activity affects Houlihan Lokey's Capital Markets business.
Answer
CEO Scott Adelson clarified that his earlier comments on elongated closing times applied to Corporate Finance, not Restructuring. He stated that the current elevated interest rate environment continues to fuel a strong pipeline of restructuring mandates. Regarding Capital Markets, Adelson noted the strength of their private capital solutions group. CFO J. Alley added that since their clients are primarily in the middle market, the opening of public debt markets for refinancing doesn't significantly impact their private capital business.