The Alcentra Group, the leveraged loan asset management shop formed last year through the acquisition of Imperial Credit Asset Management (ICAM) in the U.S. and then Barclays Capital Asset Management in Europe, is on the road with a new collateralized loan obligation called Pacifica II. The $300 million deal will consist mainly of U.S. leveraged loans with the underwriting role split between Credit Suisse First Boston and TD Securities. A source said the use of two lead underwriters is not that unusual considering the current markets. Furthermore, even though spreads are rising on the AAA liabilities, the underlying spreads are "pretty healthy." Pricing on the notes is scheduled for sometime within the next three months, the source added.
Stephen Bruce, chief operating officer and managing director of Alcentra's U.S. activities, was founder and managing director of ICAM. "Alcentra manages the Pacifica I CLO, following the acquisition of ICAM last year," noted Faith Bartlett, global head of structuring and marketing and CDO portfolio manager. Alcentra's focus is the leveraged loan asset class, she added, declining comment on the new CLO. In Europe, Alcentra bought out Barclays' European CDO team. This did not include Hans Christensen's U.S.-based team. The Alcentra Group is majority owned by the Alchemy Investment Plan, a private equity firm. For Alcentra U.S. and Europe, total assets under management are approximately $2 billion, of which over $1.5 billion is in leveraged loans.