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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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Whether corporate bond issuance conditions can get any better is a question treasurers have been asking themselves for most of the last 18 months. Well, they just have. The latest dose of invented money from the European Central Bank, and the promise of more, knocked 5bp off the iTraxx Main index — about two months’ worth of normal tightening. And rates are down too.
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All3Media, the UK producer of television programmes, has raised an aggressive £400m-equivalent loan package backing its takeover by Discovery Communications and Liberty Global, but left market participants doubting that the deal had generated much enthusiasm among investors.
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Seadrill, the UK offshore deepwater drilling company, is increasing an existing $1.8bn term loan 'B', signed in February, by $1bn.
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Bank of China and HSBC have launched GF Securities debut offshore loan into syndication, having been mandated as mandated lead arrangers and bookrunners for the HK$600m ($77m) three year deal.
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Four banks are on board the offshore Rmb800m ($130m) one year loan for the e-commerce arm of China Minsheng Bank – Minsheng E-commerce.
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US vehicle parts maker Gates Corp has issued price guidance for the €200m tranche of a first lien loan that will back its buyout by Blackstone.