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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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Ceva Sante Animale launched an €818m transatlantic loan package on Monday, as it seeks to refinance the capital structure it set up in 2007. But while another transatlantic deal — $4.8bn for Spanish pharmaceuticals company Grifols — achieved the same margin on its euro and dollar tranches late last week, Ceva has retained the traditional 25bp premium on the euro debt over the dollars.
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France's Oberthur Technologies completed the early refinancing of €465m-equivalent of term loans on Wednesday, slashing the margins.
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Permira has reached an agreement to sell its entire majority stake in Renaissance Learning to Hellman & Friedman for $1.1bn.
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Second round bids for Gea Heat Exchangers are due next week, with trade buyers and private equity firms considering the €1bn-plus primary buyout.
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French funeral services firm OGF hopes to take advantage of improved market conditions by repricing the €575m LBO term loan it raised last summer.
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Taiwan Cement Corp International (TCCI), which is seeking a $1bn loan to refinance a bridge from November last year, is expected to close the deal via a club rather than opt for syndication, according to bankers working on the deal.