Search results for

Total investment grade issuance for the year stood at $25.75 billion as of Thursday, January 10. The issuance pattern has followed a predictable path, with higher quality frequent borrowers accessing the market first followed by the best of the high yield and emerging markets credits. Average deal size has remained close to $1 billion as syndicate desks have focused first on bringing the large global deals. Notable deals for the week in investment grade included the continued broker dealers (Bear Stearns and Credit Suisse) as well as a $3 billion deal for the EBRD. In high yield, Charter Communication (B2/B+) did a three tranche ($1.1 billion total) and in emerging markets, both Mexico (Baa3/BB+) and Brazil (B1/BB-) brought 10-years for $1.5 billion and $1.25 billion, respectively, while the Philippines (Ba1/BB+) issued $750 million 15-years.

Barclays Capital has hiredHarris Cohen as a structured credit quantitative analyst in its New York-based global collateralized debt obligation department. He reports to Eileen Murphy who heads the department. Cohen's last position was president of Bio-Dynamics, a start-up which built wireless devices. His company ceased operations in the aftermath of the World Trade Center tragedy, says Cohen. Prior to this high-tech interlude, he worked for Barclays from 1998 to 2000 as both an asset-backed securities analyst and an investment banker. In his last position at Barclays, Cohen worked as an associate investment banker within the Financial Institutions Group, a division headed by managing director Eric Jaeger.

Building a high-grade debt originations business has taken center stage at Barclays Capital as the firm is aggressively approaching its rival firms to lure more top talent.Peter Goettler, head of U.S. debt capital markets, said the firm has been making a big hiring push for the past few months as it seeks to expand its presence in the high-grade market in the U.S., according to a story in BW sister publication Corporate Financing Week. The firm has already made a bunch of hires, including Michael Evelyn, managing director, who came from WR Hambrecht; Jim Glascott, managing director, who joins from from Morgan Stanley, and Kottur Vasanth, director, who moves over from Deutsche Bank.

J.W. Childs Equity Partners has tapped UBS Warburg to lead a $130 million credit backing the $165 million purchase of the Meow Mix and Alley Cat brands from Ralston Purina. A bank meeting has been set for Jan. 16. A banker said UBS' previous involvement with Childs in the petcare arena -- the Hartz Mountain deal earlier this year -- was a strong factor in the bank leading the credit. Officials at Childs said the firm does not comment to the press.

Babcock Borsig Capital closed a $90 million credit facility as one of the first companies to use an online syndication platform--ClearPar --to close a bank loan.Credit Suisse First Boston led the deal. Each syndicate member had the ability to allocate the funding of the loan online and sign all documentation online as well. The entire process typically takes weeks, but was completed in one business day. "We're always trying to increase the ease of use to clients," said Howie Shams, managing director at CSFB.

Charter Communications' debt traded into the 99 range from 98 last week on news that the company would issue bonds to pay down its bank debt. An estimated $15 million changed hands. The company has raised $900 million from the sale of junk bonds which it says it will use to increase its business and pay down the debt. Market players report the company's revolver will be paid off. Charter is a cable company based in Scottsdale, Ariz. Calls to Kent Kalkwarf, cfo, were referred to spokeswoman Colleen Haggerty, who declined to comment.

Tulsa, Okla.-based Dollar Thrifty Automotive is refinancing its revolver through current leads, J.P. Morgan, Credit Suisse First Boston and Deutsche Bank. The operator of Dollar Rent-A-Car and Thrifty Rent-A-Car is looking for a $600 million one-year revolver, according to a banker. The spread is LIBOR plus 1% with a 1/4% commitment fee. The bank meeting was held Jan. 10 while Deutsche Bank is the documentation agent and CSFB and Morgan are co-leads and administration and syndication agents, respectively. Calls to Terri Willson Snow, executive director of investor relations, were not returned.

Credit Suisse First Boston and J.P. Morgan are scheduled to launch today syndication of a $220 million refinancing for Aftermarket Technology Corp., a re-manufacturer of transmissions, engines, and automotive electronics for the automotive market. The senior unsecured BB-/Ba3 credit consists of a $50 million five-year revolver, with a spread of LIBOR plus 21/ 4% and a 1/2% commitment fee. There is a $95 million five-year "A" term loan, with the same spread and a $75 million "B" term loan with a six-year tenor. The spread on the institutional tranche is LIBOR plus 3%. Calls to Barry Kohn, cfo of ATC were referred to Mary Ryan, director of investor relations. Ryan explained ATC is undertaking a share offering process and it is a good time to regroup the capital structure. ATC is retiring the 12% notes and Barry [Kohn] wants to reduce the debt level.

J.P. Morgan and Citibank's record debtor-in-possession facility for Enron may not need to be quite so large as $1.5 billion, according to bankers familiar with the situation. Enron is in a good cash position and has not drawn down on the $250 million made available when the bankruptcy filing was made, said one source. Other sources said banks' reluctance to commit is the real reason for the potential reduction, in light of the dwindling asset base and banks concerns over exposure. J.P. Morgan spokesman Adam Castellani declined comment. The DIP is set to be syndicated Jan. 30, once a court ruling is decided. Officials at Enron did not return calls.

Dresdner Kleinwort Wasserstein has added a layer of management in its credit derivatives group with the addition of Rick Weinstein as global head of credit derivatives. Weinstein said he moved internally and reports to Matteo Mazzocchi, who is also head of securitization and project finance. The credit derivatives group previously reported directly to Mazzocchi.

Volume in the Eurosterling market fell in 2002, in line with all markets but the decline was more tempered than that experienced by its euro counterpart, with fixed rate business decreasing by just £6bn. And the sector remained open for business throughout the year, even in the post-WorldCom summer months when the euro market was closed to all but a handful of corporates. “In tough times, the sterling market remained longer in working mode than the euro market,” says Geert Vinken, global head of syndicate at Barclays Capital. “The volatile credit environment in 2002 demonstrated the depth and maturity of the sterling market in these difficult times to be more aligned to the dollar market than the euro market, reminding us that the euro corporate market has only existed for a few years.”

Equity capital market professionals throughout Asia are busy chasing down mandates for the year ahead and preparing deals for the days and weeks ahead. Issues from SK Corp and Taiwan Semiconductor Manufacturing are the most imminent jumbo deals.