Search results for

Despite concerns over casinos in Las Vegas after the downturn in air travel following the terrorist attacks, Goldman Sachs and Bank of Nova Scotia's "B" term loan for Venetian Casino Resort's blew out within hours of launch two weeks ago and was five times oversubscribed as Loan Market Week went to press. "Venetian is a high quality casino property and there are strong advanced booking trends related to the company's conference business," noted Moody's Investors Service analyst Keith Foley. Las Vegas is still a very popular destination for conferences, he added. The $375 million bank debt has received a B2 rating from Moody's, which is one notch higher than the senior implied rating. The $850 million in second mortgage notes accompanying the credit have been rated Caa1.

Credit Suisse First Boston has hired David Jansky as a v.p. in its structured finance collateralized debt obligation group. He reports to Chris Ricciardi, managing director and head of U.S. structured credit products. Jansky, who started two weeks ago, will work on structuring asset-backed securities CDOs as well as investment-grade CDOs. Ricciardi says the position is a newly created one as his group has been expanding.

Tony Smith has resigned from Credit Suisse First Boston where he was a managing director and co-head of U.S. investment-grade research. Smith is widely expected to join J.P. Morgan Securities, but a person at that firm says he is unaware whether Smith's expected hire has yet become official. Smith would pick up commercial bank coverage from Katy Rossow, a v.p., who has resigned and will leave shortly to join GE Asset Management in Stamford, Conn, according to an internal announcement sent out by Margaret Cannella, head of high-grade research at J.P. Morgan. Cannella declined comment, and Smith, Rossow and Robert MacDougall, head of fixed-income at GE Asset Management, did not return calls.

Deutsche Bank is about to launch syndication of its $900 million deal for Fleming and is said to be showing the loan to large accounts. A banker said the credit, split between a $600 million revolver and $300 million term loan, backs the $430 million acquisition of Core-Mark International and Head Distributing, and refinances existing debt. Pricing on the revolver is set on a grid ranging from LIBOR plus 13/ 4% to 2%, while the term loan is priced at LIBOR plus 21/ 4%.

BHP Billiton, the Anglo-Australian mining group, is finally close to spinning off its BHP Steel business, which will have a market capitalisation of A$2.1bn-A$2.6bn when it lists separately in July. ABN Amro and Credit Suisse First Boston are handling the deal. The long awaited move, which was flagged in March 2001, will be the largest stock market listing in Australia for two years and will place BHP Steel in the list of the country's top 60 listed companies.

Australia Amcor shares surged to an eight year high last Friday (May 10) when trading resumed after the institutional part of a A$1.4bn new capital raising was completed. The deal is to help Amcor pay for the acquisition of parts of German firm Schmalbach-Lubeca.

The Czech Export Bank (CEB) has provided the only Czech sovereign exposure available in the Euromarkets, with a $350m seven year fixed rate bond via Morgan Stanley (books) and Ceska Sporitelna. The deal should be priced today (Friday) at a Treasury spread of 115bp-120bp, with distribution expected to be dominated by banks, plus a smattering of convergence and other funds.

Australia AGL has launched a A$300m 7% October 2007 transaction via ABN Amro and Commonwealth Bank of Australia (CBA). The energy investment and development company's deal was priced at 100.08 to provide a re-offer yield of 6.98% and a spread of 68bp over swaps. The initial pricing guidance was 65bp-68bp.

Premarketing began this week for the forthcoming initial public offerings of Maxis and PLUS, which market watchers hope will propel Malaysia to the forefront of emerging economy capital markets. Ananda Krishnan-controlled Maxis is due to set out on its roadshow on May 27, and the PLUS (Projek Lebuhraya Utara Selatan) IPO is set to be roadshowed 11 days afterwards. The two transactions combined could raise close to $1.6bn from the local and international markets.

Guarantor: Westdeutsche Landesbank Girozentrale Rating: Aa1/AA+/AAA

South Korean finance company Samsung Capital Co launched its $296m auto loans securitisation this week to a blowout reception from investors spying the advent of a new market. Now that triple-A rated monoline insurers - in this case Financial Security Assurance (FSA) - will guarantee international securitisations of Korean domestic assets, the country's fast-growing consumer finance companies have the opportunity, as well as the motive, to sell ABS to overseas investors. The flow of deals is therefore expected to accelerate.