Covid-19 Crisis

  • No easy road to recovery for CMBS noteholders after Intu restructuring

    CMBS

    No easy road to recovery for CMBS noteholders after Intu restructuring

    The three-year restructuring plan for four Intu shopping centres is set to see cash poured into London, Nottingham and Glasgow retail hubs after the group collapsed into administration in June 2020. But CMBS noteholders are set to see yields recover to only 60% of the outstanding amount by the time of a likely asset sale, bringing into doubt the prospect of future shopping-centre securtiizations.

  • Barclays pre-places Irish RMBS from Pimco

    RMBS

    Barclays pre-places Irish RMBS from Pimco

    Barclays has won its second consecutive mandate in two months with the Pacific Investment Management Company (Pimco), pre-placing a reperforming Irish RMBS backed by a legacy portfolio. The deal is a refinancing of notes from Jepson Residential 2019-1, a deal which Pimco decided not to call at the height of the Covid-19 pandemic in April 2020.

  • European CLOs begin to tier as investor base decreases

    CLO/CDO

    European CLOs begin to tier as investor base decreases

    Investors in triple-A rated European CLOs are using their pricing power to discern between trades, causing some deals to be priced more tightly than the recent trend of spreads widening towards 100bp, while other paper has had to offer spreads even cheaper than this.

  • Italy: Europe's champion

    Leader

    Italy: Europe's champion

    There is good reason for cautious optimism when it comes to non-performing loans, despite the dire predictions made last summer. Italy, which has been dogged by NPL problems for years, is a prime example of how well things appear to be turning out, more than a year after the start of the pandemic.

  • Cerberus resurrects reverse mortgage securitization market

    RMBS

    Cerberus resurrects reverse mortgage securitization market

    Cerberus Capital Management has mandated Citibank for the first public securitization of equity release mortgages since before the global financial crisis. The deal, which priced on Thursday, was made of a portfolio of loans acquired from the defaulted Northern Rock and the Legal & General Group. The majority of interest paid in the coupon will come from underlying mortgage borrowers dying or entering care homes.

  • BMW UK auto loan ABS guidance marks spread shift

    ABS

    BMW UK auto loan ABS guidance marks spread shift

    BMW has mandated Lloyds and Santander, along with co-managers RBS Capital Markets and SMBC Nikko, for Bavarian Sky UK 4. Arrangers released guidance on Wednesday for the senior notes in the high 30bp to around 40bp.

  • Pepper releases guidance for non-conforming UK RMBS

    RMBS

    Pepper releases guidance for non-conforming UK RMBS

    Pepper Money has released initial price thoughts for its latest non-conforming UK RMBS deal, called Polaris 2021-1. Citi, National Australia Bank and NatWest Markets were guiding the £425m deal on Tuesday at around 80bp or in the low-80bp for the senior tranche.

  • Sancus boss on moving from buyer to manager in a booming CLO market

    Crisis Talk

    Sancus boss on moving from buyer to manager in a booming CLO market

    So far, despite the constant market chatter, consolidation among CLO managers has yet to occur. Instead, new firms are popping up as buyer demand rises in the hunt for yield. That has included Sancus Capital Management, which arranged its first deal recently having spent eight years as an investor in CLO equity and mezzanine paper.

  • Return to office a tough balancing act for banks

    People News

    Return to office a tough balancing act for banks

    As capital markets bankers gradually start to spend more time back in the office, a nuanced debate is playing out over how much flexibility they can expect to enjoy with regard to remote working when pandemic restrictions are finally lifted.

  • CLO triple-A spreads level off

    CLO/CDO

    CLO triple-A spreads level off

    The spreads on triple-A rated CLO tranches in euros are levelling off once more, after a spell of widening. The senior parts of the capital stack have become more accessible to investors, leading to a stabilisation of spreads which syndicates warn may be temporary.

  • Barclays wins Pimco mandate on legacy Irish RMBS

    RMBS

    Barclays wins Pimco mandate on legacy Irish RMBS

    Barclays has won a mandate on an Irish RMBS deal fully pre-placed by equity-holder Pimco on Tuesday. The deal was announced as it emerged that Rob Scott, head of asset finance securitisation and asset finance solutions at Barclays, is leaving the bank to join the asset manager.

  • Citi releases guidance for UK BTL RMBS

    RMBS

    Citi releases guidance for UK BTL RMBS

    Citi bank has released initial price thoughts (IPTs) for its upcoming Canada Square Funding 2021-2 UK BTL RMBS deal, guiding the senior tranche at around 80bp, cutting around 15bp from its last deal.