Search results for

Goldman Sachs has launched the much anticipated DM775m senior leveraged debt package backing Kohlberg Kravis Robert's (KKR) buy-out of Wincor Nixdorf (formerly Siemens Nixdorf) to sub-underwriting co-arrangers. Banks have been offered 112.5bp upfront for commitments of DM100m. The fee, and the commitment amount, are completely in line with the transaction's contemporaries, thereby reaffirming the European leveraged senior debt benchmark that was set in October after the launch of the Ineos Acylics deal, arranged by Deutsche and Merrill Lynch.

FREDDIE MAC reached another milestone this week by issuing an inaugural $2bn 30 year global Reference Bond as a proxy for US Treasury bonds, as well as announcing it will now hold weekly internet auctions of one, two, three, six and 12 months Reference Bills. The 30 year global, led by CSFB, Lehman Brothers and Salomon Smith Barney, attracted strong US and international demand, despite being launched at a spread of 69bp, on top of Fannie Mae's 30 year issue and several basis issue points tighter than where 30 year agency paper was trading earlier in the week.

Mannesmann suffered a humiliating blow yesterday (Thursday) when a UK High Court judge threw out an action against Goldman Sachs using language which could hardly have been more damning of the acquisitive German telecoms and engineering giant.

Mannesmann suffered a humiliating blow yesterday (Thursday) when a UK High Court judge threw out an action against Goldman Sachs using language which could hardly have been more damning of the acquisitive German telecoms and engineering giant.

Europe's high yield market is enjoying one of its busiest bursts of new issue activity this year, with over Eu1bn of paper priced since last Friday and further supply scheduled for launch in the next few days. Dual currency transactions with dollar and euro tranches for Metromedia Fiber Network and PTC International Finance were priced earlier in the week, while a Eu500m issue for GTS Europe, formerly known as Hermes Europe Railtel, was priced yesterday (Thursday).

The highlight of this week's activity in the European high yield market was a Eu500m issue for GTS Europe, formerly known as Hermes Europe Railtel. Investors proved keen buyers of the transaction which was upped from a planned Eu300m. The deal comprised Eu225m of seven year non call life senior notes with a 10.5% coupon and Eu275m of 10 year non call five senior notes priced with an 11% coupon.

The co-arranging phase of the £265m of loan backing the LBO of Ineos Acrylics (formerly ICI Acrylics) by Charterhouse Development Capital has been so oversubscribed that the arrangers, Deutsche Bank and Merrill Lynch, have cancelled general syndication. Some 15 banks have joined, and all have seen their commitments cut back exactly to target. They were invited to commit £30m for 112.5bp in fees. The success is despite reservations expressed by several bankers that the structure was too heavy in the final years.

Rating: Aa2/AA/AAA Amount: Eu150m (fungible with three issues totalling Eu1bn launched 08/01/98, 05/03/98, 23/06/98) Öffentlicher Pfandbrief series 105

Brazil WestLB has completed a $100m standby facility for its Brazilian subsidiary, BEAL (Banque Européenne pour l'Amerique Latine).

Nomura's principal finance group is once again confident of success in its long running campaign to buy the housing estate of Germany's national railway company Deutsche Bahn. The PFG offered DM8.1bn (Eu4.1bn) for the 112,000 homes last July, but its bid was rejected in favour of a lower tender from a group of German investors (see EW 562). The sale was delayed by the country's general election and then by a series of disputes, but Nomura now believes it has made an offer the government will find it difficult to refuse.