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London-based Henderson Global Investors is seeking to add two members to its collateralized debt obligation team. Dominic Powell, director of fixed interest and credit, says the firm is looking for a leveraged loan analyst to work on collateralized loan obligations and a CDO specialist. Powell said the kind of hire he makes will depend on the caliber of candidates available. Henderson is currently working on a CLO called Aquilae. That deal will be about E300 million and will be underwritten by Goldman Sachs. Last year, Henderson brought one collateralized debt obligation to market--a E150 million deal backed by credit default swaps underwritten by J.P. Morgan.

Wachovia Securities pitched into the market a $145 million deal for fishing tackle company Pure Fishing last Wednesday. Proceeds will back a leveraged buyout of the Spirit Lake, Iowa-based company by Whitney & Co. Terms of the transaction could not be ascertained. The credit includes a six-and-a-half year, $110 million "B" piece priced at LIBOR plus 41/4% and a five-year, $35 million revolver priced at LIBOR plus 33/4%. Pure Fishing provides tackle worldwide. Officials at Pure Fishing could not be reached by press time and a Wachovia banker did not return calls. Paul Vigano, a partner at Whitney & Co., also did not return calls.

Standard & Poor's has placed the BB senior secured debt ratings of Wackenhut Corrections Corp. on negative watch following the announcement of plans to repurchase Danish security firm Group 4 Falck's 57% stake in the security services company for $132 million in cash. S&P states concern over the company's plans to restructure its existing credit and issue additional debt in order to finance the transaction. Moody's Investors Service also placed the Boca Raton, Fla.-based company's Ba3 credit facility rating on review for downgrade. The Moody's review reflects Wackenhut's substantial increase in leverage in order to finance the stock repurchase.

Western Wireless Corp.'s "B" paper traded as high as 91 last week with market players citing the company's stronger quarterly numbers and the possibility that the cellular service provider may join the pack of issuers tapping the market for fixed-rate, longer-term financing. There is a lot of liquidity in the high-yield market and deals are getting done, said one trader. The market for Western Wireless has not been this high since last spring.

Wyndham International's bank debt climbed into the 80s from the mid-70s as the market reacted favorably to the generally positive news coming from the company's earnings statement. Wyndham's "B" loan traded in the 80 context, and its increasing-rate loan was said to be trading north of 82. The name has seen some pretty good flow last week, commented one trader. There is also mild speculation in the market that Wyndham may decide to take advantage of the healthy high-yield market to reattempt a bond issue after failing to find favorable terms last summer (LMW, 6/02).

CapitalSource, a commercial finance firm providing senior and mezzanine loans to middle-market companies, is bulking up its staff while planning to do one or two more collateralized loan obligations this year after completing the $450 million CapitalSource Commercial Loan Trust 03 CLO last month. Additionally, the firm has snagged a half dozen GE Capital Corp. employees and a PNC Bank staffer to kick start the firm's Chicago office. Dan Duffy, former managing director in capital markets at GE, began at CapitalSource two weeks ago as head director of the corporate finance group in Chicago. "We've essentially started a general industries team for corporate finance in Chicago," he said. He noted that CapitalSource did not scoop up an entire team of employees from GE. He said it was more of an independent process. He added that the firm is looking for four or five more hires to join the Chicago team. He would not discuss any likely candidates.

Cigna Investments has closed on a new $350 million leveraged loan fund that uses a similar structure to Banc of America Securities' SERVES transaction. The deal is a synthetic collateralized loan obligation, called Trumbull Rated Loan Fund 2003-1 whereby Cigna has issued notes that will be invested in cash and senior bank notes rated at least AA-. The notes issued are $31.325 million of amortizing notes and $21.875 million of income notes rated A and BBB, respectively, by Fitch Ratings. There is a preferred slice in the region of $2 million.

Citigroup and Lehman Brothers are in the market with a $575 million bank debt exit financing for Hayes Lemmerz International. A banker familiar with the facility would not specify commitment levels, but said the credit was collecting tickets. The deal includes a six-year, $450 million "B" term loan priced at LIBOR plus 41/4% and a five-year, $125 million revolver priced at LIBOR plus 31/2%. There is an up-front fee of 50 basis points on the institutional piece, the banker added, noting the commitment deadline is slated for May 22, but the deal's closing essentially depends on the Northville, Mich.-based automotive wheel supplier's emergence from bankruptcy. Last week, the company announced it was still in hearings with the U.S. Bankruptcy Court to confirm its modified reorganization plan.

Large pieces of Conseco's bank debt have been trading in the high 80s as the company nears the completion of its bankruptcy proceedings. A $20 million piece was spotted changing hands in the 88-89 range up from the high 70s to low 80s, where the market for the paper was quoted at the beginning of the month, according to LoanX. The tranche and the parties involved in the trades could not be determined.

Credit Suisse First Boston has restructured its bank loan trading desk, bringing its distressed group onto the private side of its operations under two new heads. Phil DeSantis and Grant Pothast, both managing directors, will now co-head CSFB's distressed bank loan group. DeSantis was formerly a managing director and trader on the firm's high-yield desk. Pothast has been CSFB's head of loan sales. The duo both report to Don Pollard, managing director and global head of CSFB's syndicated loan group.

Citigroup and J.P. Morgan were scheduled to launch syndication of a $230 million credit for Werner Ladder last Friday as part of the ladder product company's recapitalization efforts. The deal breaks down into a six-year, $170 million "B" loan with price talk around LIBOR plus 31/4% and a five-year, $60 million revolver with pricing around LIBOR plus 3%, according to a banker. Proceeds from the Ba3-rated deal, existing cash and $20 million from an accounts receivable securitization facility will be used to refinance the $115.4 million outstanding on the Greenville, Pa.-based company's existing facility. In addition, Werner is selling $65 million in preferred stock to private equity firm Leonard Green & Partners. Proceeds will also help redeem $150 million of common stock from the existing Werner shareholders. Larry Friend, Werner's v.p., cfo and treasurer, did not return calls.

John Flannery, former president and ceo of GE Equity--the private equity arm of General Electric--is moving to the GE Corporate Financial Services division scheduled to start today, to be managing director and head of the bank loan group. A GE spokesman said Flannery will fill the position left vacant after Murry Stegelmann left the post to start up a distressed debt fund last month (LMW, 4/14). Flannery will report to Michael Gaudino, president and ceo of the corporate finance arm. Flannery joined GE in 1987 as an associate in the corporate finance group and became a senior v.p. in corporate restructuring in 1993. He helped form the GE Equity unit in 1994 and served as a managing director at GE Equity's Latin America office from 1997 to 1999. He was named president of GE Equity in February 2002. Flannery could not be reached for comment.