Nippon Life India AIF Management – Senior Credit Analyst

Purpose of the Job:

To undertake comprehensive credit assessment, underwriting and execution of investment opportunities in the private credit – high-yield debt space.

The role involves evaluating businesses across sectors, assessing their financial strength, business fundamentals, management quality and debt servicing capabilities, and structuring bespoke credit solutions to address the financing requirements of borrowers. The individual will be responsible for end-to-end transaction execution, ongoing portfolio monitoring and proactive identification and mitigation of credit risks across the investment portfolio.

Key responsibilities:

A. Credit Underwriting and Investment Evaluation:

– Undertake comprehensive credit evaluation of prospective borrowers across sectors, including assessment of business fundamentals, industry dynamics, competitive positioning, management quality, financial performance and corporate governance.

– Conduct detailed financial analysis, including historical financial performance, cash flow assessment, working capital requirements, capital structure, debt servicing capabilities and liquidity position.

– Prepare projections to evaluate sustainability of business cash flows and assess the borrower’s ability to service debt under different operating and financial scenarios.

– Analyse the existing debt profile, including lender exposure, repayment obligations, security arrangements, contingent liabilities, guarantees and potential refinancing requirements.

– Assess promoter and management track record, financial discipline, governance standards, related-party transactions and historical conduct with lenders and other stakeholders.

– Prepare detailed credit appraisal notes, investment memorandums and recommendations for internal investment committees, clearly articulating the investment rationale, key risks and proposed mitigants.

– Evaluate new and existing borrowers across both operating company (OpCo) and holding company (HoldCo) structures.

B. Transaction Structuring and Execution:

– Lead and drive end-to-end execution of credit transactions, from initial evaluation and due diligence through structuring, documentation and financial closure.

– Work across transaction structures, including secured – unsecured debt, senior – subordinated debt, structured credit, promoter financing, acquisition financing, refinancing and other bespoke credit solutions.

– Negotiate key commercial terms with borrowers, promoters, lenders and other counterparties, including finalisation of term sheets and transaction structures.

– Work closely with legal counsel, technical consultants, financial advisors, trustees, security agents and other external stakeholders for transaction execution.

– Review and negotiate key provisions of financing and security documents, including debenture trust deeds, loan agreements, share pledge agreements, guarantees, escrow arrangements and inter-creditor agreements.

– Ensure that appropriate structural protections, cash flow controls, security mechanisms, financial covenants and information covenants are incorporated into transaction documentation.

– Coordinate with internal legal, compliance, operations and investment teams to ensure timely completion of due diligence, satisfaction of conditions precedent and disbursement.

– Independently manage multiple transactions and drive timely closure without compromising the quality and rigour of credit assessment.

C. Portfolio Monitoring and Risk Management:

– Independently monitor the performance and credit quality of existing portfolio investments through periodic financial reviews, management interactions and assessment of key operating and business developments.

– Track financial performance against approved business plans, projections and underwriting assumptions, identifying deviations and assessing their implications for debt servicing.

– Monitor key credit parameters, including leverage, liquidity, interest coverage, debt service coverage, working capital position and covenant compliance.

– Track repayment schedules, interest servicing, maturity profiles, refinancing requirements and adequacy of security cover.

– Undertake periodic reviews of borrower financials, rating actions, lender developments, industry trends and other relevant information.

– Maintain regular engagement with borrower management and promoters to obtain updates on business performance, financial position, liquidity and future plans.

– Identify early warning signals, including deterioration in financial performance, cash flow stress, governance concerns, delayed payments, rating downgrades and adverse industry developments.

– Prepare periodic portfolio review notes and updates for the Fund Manager, Investment Committee and other relevant stakeholders.

D. Industry Research and Business Evaluation:

– Develop a strong understanding of various industries, business models, competitive dynamics and sector-specific operating risks to support informed credit decisions.

– Undertake sectoral research to evaluate industry growth prospects, regulatory developments, demand-supply dynamics, pricing trends and key business risks.

– Analyse the impact of macroeconomic developments, interest rate movements, commodity price fluctuations, regulatory changes and other external factors on borrower credit profiles.

E. Reporting and Stakeholder Management:

– Maintain effective working relationships with borrowers, promoters, lenders, investment bankers, rating agencies, legal advisors and other relevant stakeholders.

– Coordinate with internal teams to ensure smooth execution of transactions and timely resolution of operational, legal and documentation-related matters.

– Ensure timely and accurate dissemination of relevant information and updates to internal/external stakeholders.

– Maintain appropriate documentation and records of credit assessments, approvals, transaction execution and portfolio reviews.

Behavioral Competencies:

– Ownership and Accountability: Ability to assume end-to-end responsibility for credit evaluation, transaction execution and portfolio monitoring.

– Analytical Thinking: Strong analytical and problem-solving skills, with the ability to evaluate complex businesses, financial structures and credit situations.

– Commercial Acumen: Ability to balance commercial considerations with credit discipline and identify appropriate risk-return opportunities.

– Decision-making Ability: Ability to exercise independent judgement, challenge assumptions and arrive at well-reasoned credit recommendations.

– Execution Orientation: Ability to manage multiple transactions simultaneously and deliver outcomes within tight timelines without compromising analytical rigour.

– Attention to Detail: Strong focus on identifying financial, structural, legal and operational risks that may impact the investment.

– Stakeholder Management: Ability to effectively engage with senior management, promoters, lenders, advisors and internal stakeholders.

– Adaptability and Learning Orientation: Keen interest in understanding new business models, sectors, financing structures and evolving market dynamics.

– Integrity and Professional Conduct: High standards of professional ethics, transparency and independence in credit assessment and decision-making.

Role Specific Competencies:

– Strong understanding of credit underwriting, financial analysis, financial modelling, debt structuring and risk assessment.

– Experience in evaluating businesses across sectors, including assessment of business models, industry dynamics, management quality and financial performance.

– Sound understanding of structured – high-yield credit transactions, including complex OpCo – HoldCo structures, capital structures and cash flow waterfalls.

– Ability to evaluate security arrangements, financing documentation, covenants and lender protection mechanisms, and identify appropriate risk mitigants.

– Strong analytical, communication and execution skills, with the ability to independently manage transactions and engage with internal and external stakeholders.

Formal Qualifications – Prior Work Exp:

– Minimum 2 – 3 years of relevant experience in credit underwriting, credit analysis, structured finance or debt investments.

– Prior experience in NBFCs, private credit funds, banks, debt investment platforms, rating agencies or structured finance teams would be preferred.

– Strong experience in evaluating and executing structured – high-yield credit transactions, including OpCo and HoldCo financing structures, would be an added advantage.

– Experience in end-to-end transaction execution, including due diligence, financial analysis, structuring, term sheet negotiation and legal documentation.

– Professional qualifications in finance, including Chartered Accountancy (CA), CFA, MBA – PGDM (Finance) or equivalent, would be preferred.

– Strong proficiency in financial modelling, financial statement analysis, Microsoft Excel and PowerPoint.