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Deal includes one of the tightest triple-A prints since spreads widened due to the Iran war
Pricing on triple-A notes lands 10bp wider than previous deal in the wake of Iran war
Manager has already used its fourth captive equity fund to invest in five CLOs
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Three collateralized loan obligations totaling nearly $1.5 billion were priced by early Thursday afternoon this week, even as spreads on liabilities drifted wider to levels similar to those seen in February this year, when AAA-rated liabilities were consistently being priced in the area of 150 basis points, according to SI data.
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Around a dozen new-issue collateralized loan obligations are set to come to market ahead of the traditional summer lull.
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U.S. commercial mortgage-backed securities and collateralized loan obligations have performed better than expected, while residential mortgage-backed securities and real estate collateralized debt obligations have been the worst performing among all structured finance sectors, according to Fitch Ratings.
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Goldman Sachs has printed Credit Suisse Asset Management’s Madison Park Funding IX collateralized loan obligation, with coupons marginally higher than those offered on other recent CLOs—consistent with the recent widening trend pegged to European market jitters, insiders say.
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CVC Credit Partners has raised a $409.75 million Apidos CLO IX, it’s top-rated liabilities printing with a coupon of 140 basis points over three-month LIBOR.
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Default rates of Spanish loans to small and medium-size businesses in collateralized loan obligations will likely rise again after its current period of stabilization, according to Fitch Ratings.
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Shenkman Capital Management has priced Slater Mill Loan Fund, a $311.55 million arbitrage collateralized loan obligation after a six-year absence from that market and plans on rolling out more CLOs.
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The collateralized loan obligation market took off in the first quarter of this year in the U.S., but in Europe the asset class is still “quasi moribund” and unlikely to see a true re-emergence in the short term, panellists at Global ABS said this morning.
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Goldman Sachs is said to be raising $518 million for a collateralized loan obligation managed by Credit Suisse Asset Management.