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Leveraged Loans

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Despite the allure of lower loan prices, CLO managers should print deals cautiously
Software loan sell-offs and the Iran war have caused US and European loans to price differently
Leveraged loans in stressed sectors like software carry refinancing risk
LBO financing includes $5.75bn term loan to be priced early next week
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  • UK wealth adviser Towry has received a new £47.3m loan, set to mature in 2017, that will replace the company’s existing mezzanine facility.
  • Emerging markets loans bankers are a downbeat lot when it comes to loan price expectations, according to EuroWeek’s latest poll.
  • Swiss retailer Valora will use a new Sfr450m ($482m) syndicated loan facility to finance part of its acquisition of shop operator Ditsch/Brezelkönig.
  • Croatian food maker Atlantic Grupa has started talks with the European Bank for Reconstruction and Development (EBRD) and the IFC to refinance €300m ($387m) of its debt.
  • Angola’s state-owned oil company Sonangol has hired Standard Chartered to co-ordinate its new credit facility.
  • Moody’s has placed CGG-Veritas (Ba2/BB-) on review for downgrade after the French oil and gas field surveyor took out a €700m bridge loan to finance its €1.2bn acquisition of part of the geoservices division of Dutch firm Fugro. The review comes despite the borrower saying it has structured the transaction in such a way as to maintain its existing credit ratings.