LevFin - All Articles


  • Excellence closes year with anchored trade

    Excellence Commercial Properties Co netted $100m from an offshore bond sale last Friday.

    • 07.00 AM
  • Allianz and Gaw team secures S$945 green loan

    Allianz Real Estate and Gaw Capital Partners have secured a joint S$945m ($697m) green loan to support the acquisition of Duo Tower and Duo Galleria in Singapore.

    • 06.00 AM
  • GlobalCapital Asia capital markets awards 2019: Loans

    GlobalCapital Asia spent the last two months talking to banks and their clients to determine the most impressive capital markets transactions and advisers across Asia ex-Japan in 2019. We are pleased to begin our awards announcements in the loan market.

    • 01.45 AM
  • Outlook brightens for UK PLC, but Brexit will bite soon

    There are fundamental reasons for UK assets to be revalued upwards, analysts believe. The powerful majority achieved by Boris Johnson's Conservatives tilts the UK towards a Trump-like market-friendly, fiscally generous patch. But the reality of Brexit cannot be ignored for long.

    • 13 Dec 2019
  • China Biologic seeks financing for take-private

    Asian leveraged finance bankers are having a busy year-end, with a couple of Chinese companies coming to the loan market for funds to support their acquisitions.

    • 13 Dec 2019
  • Hydoo wraps up exchange, pays 14% coupon for new 2yr bond

    Chinese property developer Hydoo International Holding has priced new notes as part of an exchange offer, issuing $193.5m of two year bonds that include around $82m of new money.

    • 13 Dec 2019
  • Zensun returns for tap of debut bonds

    Chinese residential developer Zensun Group bagged $120m from a tap of its debut bond on Thursday, launching the deal on the back of plenty of anchor support.

    • 13 Dec 2019
  • US, European CLO markets take downturn fears in their stride

    The CLO is one of the more transatlantic sectors in securitization, and has grown more so in the past year as US managers make new inroads in Europe. However, both markets grapple with unique issues. In the US, a rocky corporate credit landscape has put the fear of widespread downgrades front and centre, while in Europe, the space is getting crowded and competition for collateral and persistent negative rates weigh on the sector. Both markets in 2020 are headed for an inflection point. Max Adams and Tom Brown report

    • 13 Dec 2019
  • Mega-funds muscle into European leveraged market

    After assembling mega-funds that can commit loans of €1bn and more, direct lenders are gaining ground in leveraged finance at notable speed. Besides size, firms such as Alcentra, Ares, BlueBay and ICG offer borrowers privacy, speed, fixed terms and long-term commitment. But are they all equipped for the torrent of distressed situations the next downturn is likely to bring?

    • 13 Dec 2019
  • Germany disappoints levfin market as volumes slump

    Volumes in European leveraged finance took a dive in 2019, leaving leveraged credit investors struggling to find value. A string of take-private attempts, especially in Germany, had lenders and banker salivating, but fell apart before coming to market

    • 13 Dec 2019
  • As US banks’ shadow lengthens, Europeans plan their fight back

    Each year brings another retreat for European investment banks, as their seemingly invincible US competitors edge further into the European market. While the Europeans are far from capitulating, the pressure is relentless. As Jasper Cox reports, they are trying to redefine success by concentrating on the markets and segments where they are strongest

    • 13 Dec 2019
  • Sponsors try to tame net short activists with covenant magic

    Lawyers in the US have had a busy 2019 drawing up tough documentation to protect borrowers and sponsors from CDS investors — net short activists — trying to get their say on the future of a company. With these provisions spreading to Europe, 2020 could be an even busier year

    • 13 Dec 2019
  • High demand for euro CLO collateral fuels US loan recycling

    The amount of exposure to US loan collateral in European CLOs has climbed to as high as 30% for some newly issued deals, as newer managers “recycle” US collateral into euro transactions.

    • 12 Dec 2019
  • CS optimistic on tech, healthcare, M&A

    Credit Suisse expects to make a pre-tax loss in its investment banking and capital markets (IBCM) division this year, it said at an investor day on Wednesday. But it pointed to a strong pipeline for 2020.

    • 12 Dec 2019
  • People moves in brief

    Barclays’ head of corporate broking leaves — ESG finance academic joins Barings — Morgan Stanley ratings banker heads for exit

    • 12 Dec 2019
  • Berry rewarded for braving election week as bond balloons to €1bn

    Investors gobbled up a high yield bond offering by US plastic packaging company Berry on Thursday, encouraging the company to increase the size twice, eventually reaching over €1bn. Berry is the only speculative grade company to issue a major bond this week in Europe, as most issuers stayed away from a market anxious about the UK general election.

    • 12 Dec 2019
  • Cracks show amid bumper year for Indian bonds

    Indian issuers thronged the offshore bond market this year, with volumes from the country easily beating 2018 numbers. But cracks in the market have started to show. While deal flow will be strong in 2020, concerns around the health of the financial sector and the changing status of state-owned enterprises are keeping investors on edge. Morgan Davis reports.

    • 12 Dec 2019
  • Dongying metal companies suspend $300m borrowing

    Dongying Fangyuan Nonferrous Metals and Dongying Lufang Metals Material have stopped the syndication of a $300m loan.

    • 12 Dec 2019
  • Embattled Tewoo announces exchange, tender results

    Chinese state-owned commodities trader Tewoo Group has announced the final results of its offshore debt restructuring, with investors accepting losses on their principals or facing delayed repayments up to 2039.

    • 12 Dec 2019
  • Percentage of single-B minus tech loans hits highest point in four years, says S&P

    The percentage of single-B minus rated loans from technology issuers has reached the highest point in the last four years, according to S&P Global Ratings.

    • 11 Dec 2019
  • Volatile UK politics worry M&A and PE executives

    Increasingly divisive and unpredictable UK politics is threatening the favourable conditions on which private equity firms and the leveraged finance industry have relied during the post-crisis years. Most levfin bankers and PE partners breathed a great sigh of relief on Friday morning, when the risk of a Jeremy Corbyn-led government dissipated and no deal Brexit became far-fetched — but uncertainty over Brexit remains. Karoliina Liimatainen reports.

    • 11 Dec 2019
  • Schmolz + Bickenbach begins emergency recapitalisation

    Struggling Swiss steelmaker Schmolz + Bickenbach has launched an emergency rights issue after the Swiss market regulator FINMA approved it on Monday.

    • 11 Dec 2019
  • France blocks Taxonomy law at last moment

    On Wednesday, just as the European Commission launched its European Green Deal to move Europe to a carbon-neutral and environmentally friendly future, France led a revolt against the Taxonomy which was the centrepiece of the EC's Sustainable Finance Action Plan.

    • 11 Dec 2019
  • European Green Deal calls for ‘massive investment’, financial reforms

    The European Commission launched its European Green Deal on Wednesday, calling for “massive public investment” to tackle climate and environmental challenges which it calls “this generation’s defining task”.

    • 11 Dec 2019
  • Corporate bond market sweats as Labour gains ahead of UK election

    Jeremy Corbyn’s Labour Party has gained on its political rivals in the latest polls, a day before the UK's general election, leading to jitters in the corporate bond market.

    • 11 Dec 2019
  • Wynn Macau scores big with $1bn bond

    Wynn Macau, a hotel and casino resort, raised $1bn from its bond return on Tuesday, surpassing expectations on both size and price.

    • 11 Dec 2019
  • Barclays corporate broking boss departs

    Kunal Gandhi, the head of corporate broking at Barclays, has left the bank, GlobalCapital understands.

    • 10 Dec 2019
  • The Hut Group prices its first ever term loan

    Sprawling e-commerce company The Hut Group completed a €600m term loan 'B' deal on Tuesday, changing its capital structure. The privately held company — touted as one of the few UK tech unicorns — has expansion ambitions in both online stores and web services, but is also making risky excursions into real estate.

    • 10 Dec 2019
  • MUFG hires Barclays’ Ferrario in financials push

    Matteo Ferrario is joining MUFG from Barclays, where he led the asset finance origination unit. He will be reunited with John Winter, who joined the Japanese bank earlier this year and will be his boss.

    • 10 Dec 2019
  • Dongying metal companies return for annual borrowing

    Dongying Fangyuan Nonferrous Metals and Dongying Lufang Metals Material have returned to the offshore market for a new $300m loan.

    • 10 Dec 2019
  • Indian NBFCs to look offshore in 2020

    Indian non-banking financial companies will be forced to wean off from their reliance on the rupee bond market and tap international investors next year amid a liquidity crunch onshore. But with buyers becoming increasingly selective on the kinds of NBFCs they will buy, borrowers should be prepared to pay up.

    • 10 Dec 2019
  • Singapore’s Hoi Hup closes debut green loan

    Singapore property developer Hoi Hup Realty has received its debut green loan of S$332.5m ($244.5m), which it will use to partially finance its acquisition of a hotel in the southeast Asian country.

    • 10 Dec 2019
  • Jiangxi Copper scores $700m loan for FQM buy

    Three Chinese banks have provided Jiangxi Copper Company with a $700m loan to support its acquisition of Canada’s First Quantum Minerals (FQM).

    • 10 Dec 2019
  • LGFV bonds bounce back after default fear

    Fear of an onshore default by a Chinese local government financing vehicle (LGFV) led to a sell-off in the dollar bond market on Monday. But after news emerged of a government rescue of the company, both the primary and secondary markets quickly recovered.

    • 10 Dec 2019
  • H&H increases refi loan size to $675m

    Health and Happiness International Holdings, a China-based supplier of paediatric nutritional and baby care products, has increased the size of its loan to $675m on strong demand.

    • 10 Dec 2019
  • First Eagle to acquire CLO manager THL Credit Advisors

    First Eagle Investment Management will acquire THL Credit Advisors, a credit investment and CLO management firm headquartered in Boston which has approximately $17bn in assets.

    • 09 Dec 2019
  • Berry braves UK election week to launch €725m refi

    Another packaging company is hunting for better financing terms in the issuer-friendly European high yield bond market. Berry Global follows companies such as Crown, Ball, Smurfit Kappa, Owen-Illinois and Ardagh with an ambitious refinancing that could be priced as early as Thursday — the day of the UK general election.

    • 09 Dec 2019
  • Cairn snares pair of senior CLO credit analysts

    Cairn Capital announced a pair of hires at the end of last week, appointing José Ferrero and Vihren Jordanov as senior credit analysts.

    • 09 Dec 2019
  • Aditya Birla Finance increases loan to $105m

    India’s Aditya Birla Finance (ABF) has closed its second offshore borrowing this year with three lenders.

    • 09 Dec 2019
  • Chinese default spree continues as Meilan confirms non-payment

    Months after failing to repay both renminbi and dollar bonds, Haikou Meilan International Airport has now confirmed the non-payment, adding to the spate of recent defaults from Chinese issuers.

    • 09 Dec 2019
  • Thaco closes debut borrowing with 10 banks

    Vietnamese car manufacturer Truong Hai Auto Corp has closed its debut offshore borrowing, increasing the size of the loan to $210m.

    • 06 Dec 2019
  • Serba Dinamik struggles with $200m bond outing

    Malaysian energy services group Serba Dinamik International faced an uphill battle on Thursday when it courted investors for a new bond.

    • 06 Dec 2019
  • Seazen, China South City tap year-end liquidity

    Chinese real estate firms Seazen Holdings Co and China South City Holdings both came to the dollar bond market this week, making use of a narrowing window for issuance before the year ends.

    • 06 Dec 2019
  • Houlihan’s European expansion rolls on

    Houlihan Lokey’s European corporate finance land grab has made its fifth acquisition since 2014, writes David Rothnie, at a time when the fluctuations of the credit cycle may be about to lead to more restructurings.

    • 05 Dec 2019
  • People moves in brief

    Giancarlo heads to private sector — Barclays structurer goes to buy side — Danske reorganises DCM

    • 05 Dec 2019
  • Kiloutou scores flexibility with loan-to-bond refi

    French equipment leasing firm Kiloutou locked in an opportunistic refinancing of its loans with a new dual tranche €820m high yield bond on Thursday, easing its covenant constraints at the expense of adding call protection. At initial talk, the deal appeared to have little pricing rationale, but the market proved keen to support it, and the company added an extra €40m and priced through guidance.

    • 05 Dec 2019
  • Intu the mire as distressed buyers circle UK property co

    GlobalCapital understands distressed debt buyers are seeking advice on how to target debt issued by intu Properties, especially its 2022 convertible bonds, now trading below 70, as the shopping centre company reels from the wave of restructurings and rent reductions by some of UK’s largest retailers.

    • 05 Dec 2019
  • Peking Founder’s bonds tumble as cash crunch leads to onshore default

    Investors have dumped Peking University Founder Group Co’s $2.95bn of dollar bonds after a default by the company in onshore China rattled markets. But despite numerous default situations from the country making headlines this year, market participants are not hitting the panic button just yet, writes Addison Gong.

    • 05 Dec 2019
  • BRI Finance debuts with $100m three year loan

    BRI Multifinance Indonesia (BRI Finance) is tapping the offshore loan market for an up to $100m borrowing.

    • 05 Dec 2019
  • Go ‘overweight’ in CLOs next year, says BofA

    Market participants should take advantage of any spread widening in CLOs between now and year end, said Bank of America research analysts, as they predict that bonds throughout the capital stack will rally in 2020.

    • 04 Dec 2019