Loans and High Yield

Italian business software vendor TeamSystem returned to the public bond market to refinance a floating rate note it placed privately in 2016, as high yield fund managers increase their demand for floating rate debt this year.

GCL New Energy is opting to use a club route for a $150m loan, mandating Credit Suisse as the sole mandated lead arranger and bookrunner, according to sources.

China’s Qinghai Provincial Investment Group Co was forced to pay up around 75bp in new issue premium to complete a $250m bond on Friday, as investors voiced their scepticism about the low rated issuer.

China’s Gangtai Group Co and Yango Group Co both sold bonds with 1.5 year tenors at the end of last week, catering to the Asian buy-side’s demand for short duration. Their transactions have raised expectations of more short-term issuance from high yield companies.

Credit Suisse has named Sergio Morita as Ashish Sharma’s replacement to helm the loan syndications desk in Asia Pacific, according to an internal memo seen by GlobalCapital Asia.

Barclays and Nordea will lead the financing of what is expected to be one of Europe's largest public to private takeovers this year, the acquisition of telecoms company TDC by DKT, a peer owned by a consortium of investors.

Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) has mandated ANZ as the sole mandated lead arranger and bookrunner for a $100m bullet loan, according to sources close to the deal.

Shanghai-listed MeiHua Holdings Group has launched its debut international loan, seeking $200m through a single bookrunner.

European leveraged finance primary markets are roaring back into action, pleasing hungry investors this week. Borrowers and investors appear eagerly engaged in a stream of transactions that recalls the strong start of the year.

US media and entertainment company iHeartMedia filed for Chapter 11 bankruptcy on Thursday, adding $9.4bn of high yield bonds and $6.3bn of leveraged loans to US default volumes, although Fitch Ratings said there is ‘no widespread distress’ in the sector.

Natixis made a string of appointments at the top of its corporate and investment banking division on Wednesday.

Indonesian coal company Toba Bara Sejahtra failed to make its debut in the dollar bond market this week, after a weak market backdrop and concerns about high yield credits dented investor appetite. But other firms looking for funding are not giving up just yet, writes Morgan Davis.