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A slow destruction of misallocated investment is more likely than a sudden stop
LBO financing includes $5.75bn term loan to be priced early next week
Investors eye 2028, 2031, 2032 as big years for loan maturities
Even leveraged deals still being underwritten, though banks are selective
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Angus Chemicals, the US chemicals producer, is closing books on its $505m leveraged loan, the first of the year, having made a small shift in favour of euros on the crossborder transaction.
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SIG Combibloc, the Swiss drinks carton maker, has launched the long-awaited €2.265bn loan backing its acquisition by Onex, in the largest European leveraged takeover financing of the year so far.
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KKR, the US private equity firm, surprised the UK equity markets on Thursday morning as it announced its takeover of Thetrainline.com, the train ticketing website that had a fortnight ago expressed its intention to float in London.
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Fresenius, the German medical care company, launched a loan refinancing project of around €3bn only two days after Standard & Poor’s upgraded it to investment grade.
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The loan portion of Liberty Global’s refinancing exercise has been reduced to around €690m, after lenders’ reluctance to roll into its merging Dutch subsidiary led the company to issue an €800m bond through Ziggo, one of the merging companies.
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BNP Paribas is preparing a reorganisation of its leveraged finance and high yield teams, as part of the reordering of its corporate and institutional bank that has taken place since Yann Gérardin took over as its head in October. Market participants believe some job cuts are possible.