Term Loan Kicked Around For WorldCom

  • 19 May 2002
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WorldCom met with its seven biggest lenders last Thursday as market players speculate that a $750 million term loan could be a part of the company's new financing plan. WorldCom, does not need the cash from a term loan, but rather the backstop liquidity, a trader said. The company will look to avoid the term loan because it comes at a higher price, a dealer explained. The bank group will probably balk at a revolver because if the company decides to draw the line they will have the same exposure to the company as a fully funded term loan without a higher price to compensate for the risk, he noted.

Names such as Calpine have succeeded in tapping the institutional market for $1 billion in funds, but the market is wondering if investors still have any appetite for telecom paper. The company wants to add the $750 million line to its current $1.6 billion revolver for a combined $2.35 billion credit with summer 2006 maturity. Calls to the company's spokesman, Brad Burns, were not returned by press time.

  • 19 May 2002

GlobalCapital European securitization league table

Rank Lead Manager/Arranger Total Volume $m No. of Deals Share % by Volume
1 Bank of America Merrill Lynch (BAML) 6,665 23 12.97
2 Citi 5,781 17 11.25
3 BNP Paribas 3,715 15 7.23
4 Barclays 2,853 9 5.55
5 Credit Suisse 2,783 8 5.42

Bookrunners of Global Structured Finance

Rank Lead Manager Amount $m No of issues Share %
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1 Citi 99,250.27 279 13.04%
2 Bank of America Merrill Lynch 92,153.61 267 12.10%
3 Wells Fargo Securities 72,661.39 222 9.54%
4 JPMorgan 52,367.24 169 6.88%
5 Credit Suisse 41,885.89 127 5.50%