Loans and High Yield

JP Morgan has promoted a whole new layer of leadership in its investment bank, reaching down to debt capital markets, equity capital markets and M&A. At the top of the tree, Carlos Hernandez has moved from being head of global investment banking to executive chair and has appointed new co-heads of global investment banking.

Australian healthcare business Genesis Care is borrowing A$1.4bn-equivalent to fund the buyout of 21st Century Oncology’s US business, giving loan investors a rare chance to put money to work at a spread north of 400bp.

China Datang Corp, a power generation company, is making its debut in the offshore loan market, seeking HK$5bn ($643m).

Trans Retail Indonesia has caused a stir by deciding to structure its new syndicated loan with a relatively rare two-stage participation fee payment. Although not all banks will be wholeheartedly on board, the borrower’s move is savvy under the circumstances.

China Aoyuan Group and China Huarong Financial Leasing Co this week raised a combined $388m from bonds that will mature in less than one year, taking advantage of a regulatory loophole to tap the market with short-dated deals.

Citigroup has picked Miguel Gabian to be head of its Spain and Portugal markets franchises.

Inovyn, an Ineos entity, is marketing an increase, extension and alteration to €1.064bn of term loans, pushing out maturities from 2025 to 2027 and adding another €250m to its debt stack. But the Ba3/BB- rated borrower is not seeking any margin cut. The 200bp spread is already at the effective floor for European leveraged loans.

A Dubai World subsidiary has agreed to buy port operator DP World for $13.9bn. The lending desks at Citigroup and Deutsche Bank will be big winners from the debt-fuelled transaction.

Property company Eisa Holding has returned to the loan market for a refinancing deal through bookrunner First Commercial Bank.

A number of Chinese borrowers are navigating a slowdown in offshore bond issuance approvals from the regulator by selling sub-one year deals to capture the momentum in the dollar debt market.

Fosun International has returned to the offshore loan market for a $650m refinancing that is being run by a large banking group at the top.

Asia’s credit markets have held up well despite the news around the spread of the novel coronavirus, with another spate of Chinese issuers pricing bonds that proved a hit with investors.